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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: eDollar.com who wrote (17365)	6/14/1998 12:44:00 AM
From: joe	Respond to of 45548

I can't respond to your entire post...there are just too many misleading statements to cover all of them. Maybe others can add. But here's a start....Your reference to to Intel is very outdated. Yes, sure, there's margin pressure on COMS products. There's margin pressure on everybody's products. But, 3Com will still manage it's margins because 1) it can gain dominating market share 2) it adds extra value and expertise that is highly valued by many resellers/system integrators, 3) it has superior manufacturing efficiencies and this will improve greatly once the USRX merger has been digested fully. Here, just for starters, read how great INTC is doing as networking competitor -- NOT! Intel Aims High -- The Undisputed Leader In Chips Has Failed To Leverage Its Strength Into Other Markets techweb.com In networking Intel is barely visible except in a couple of segments, analysts said. "It would be a stretch to say that Intel could supply the networking needs of an enterprise," said John Armstrong, networking analyst at Dataquest. "They're really not equipped to do that from a product line perspective. They don't have the breadth of products that Bay [Networks Inc.] or Cisco [Systems Inc.] or 3Com or Cabletron [Systems Inc.] have." Its strongest networking category is 10/100 LAN connectors-network interface cards (NICs) and LAN-on-motherboard (LOM) connections-where it has 30 percent of the market. But even there Intel lags way behind 3Com, with 57 percent of the market, said the Dell'Oro Group, a Portola Valley, Calif., researcher. In such markets as low-end routers, small-office/home-office routers, and 10/100 Ethernet switches, Intel's market share is less than 1 percent. Meanwhile, there are huge holes in Intel's networking product lineup. It has no ATM switches, for example, and no high-end routers. "They don't have any chassis-based products, which appeal to enterprise-level customers," Armstrong said. . . . . In networking Intel is barely visible except in a couple of segments, analysts said. I'll be posting other info which may make you rethink some of your ideas....