Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: WebDrone who wrote (9362)	7/9/1998 10:28:00 AM
From: cmg	Read Replies (1) \| Respond to of 42804

Lucent Technologies to Purchase LANNET for $117 Million Purchase Adds Intelligent Ethernet and ATM Enterprise Switches to Rapidly Expanding Data Networking Portfolio MURRAY HILL, N.J., July 9 /PRNewswire/ -- In another move to address high- growth opportunities in data networking related to the explosive growth in use of the Internet, Lucent Technologies today said it will acquire LANNET, a subsidiary of Madge Networks N.V., for $117 million in cash. LANNET is a leading supplier of next-generation Ethernet and Asynchronous Transfer Mode (ATM) switching solutions for local area networks. The transaction is expected to be completed in the quarter ending Sept. 30, 1998. Based in Tel Aviv, Israel, LANNET is a global provider of next-generation Ethernet intelligent switches serving small workgroups to large campus LANs, and high-capacity, multiservice ATM and Ethernet switches for campus backbone networks. ''This acquisition helps fill an important space in our growing data networking portfolio,'' said Bill O'Shea, president of Lucent's Data Networking Systems group. ''The intelligent LAN switch opportunity is growing at better than 20 percent a year and this move will help us offer a comprehensive Lucent LAN switching solution from the desktop to the edge of the wide area network. ''LANNET offers a portfolio of award-winning, highly reliable IP and ATM networking products that are complementary to our existing offers,'' O'Shea said. ''They have a prestigious global customer base and strong sales channels, particularly in Europe, which is a critical growth area for Lucent.'' LANNET's products include the Visage family, a series of high-performance and highly reliable enterprise-class stackable switches designed for workgroup and backbone applications; the Meritage 1400 line, a family of fault-tolerant, next-generation multiservice Ethernet and ATM backbone switches; and LANswitch Plus, one of the industry's most widely deployed multilayer, multiprotocol (Ethernet, Token Ring, FDDI) switching systems. ''These products are highly complementary to Lucent's data networking product line,'' O'Shea said. ''The LANswitch Plus and Visage workgroup switches will aggregate data from existing Ethernet, Token Ring or FDDI networks into high-speed Ethernet or ATM pipes. This high-speed data can then be fed to either our Gigabit Ethernet product family or one of our ATM switches, depending on customer needs. The LANNET Meritage multiservice ATM backbone switch is a higher-capacity partner to the Lucent AX 500 ATM Switch for the campus LAN environment. The Meritage multiservice ATM switch is particularly attractive to our portfolio because it is based on a unique distributed architecture that enables much higher fault tolerance for ultra-high reliability. There are essentially no product overlaps in this deal.'' Upon completion of the acquisition, LANNET will become part of Lucent's Enterprise Infrastructure Products Group (EIPG) within Data Networking Systems. Shmuel Levy, CEO of LANNET, will join Lucent as president, EIPG Israel Technology Center, and will report to Menachem Abraham, president of Lucent's EIPG, based in Concord, Mass. LANNET's center of operations will remain in Israel. ÿMRVC:ÿ Quote ÿ\|ÿ