To: blankmind who wrote (19019 ) 7/12/1998 2:59:00 AM From: joe Read Replies (4) | Respond to of 45548
Below is a clipping from a daily news item frominformationweek.com ---------------------------------------------------------------- TOP STORIES ___Lucent Buys Intelligent-Switch Company____ Lucent Technologies continued its buying spree and fleshed out its networking line with a $117 million cash acquisition of intelligent-switch-maker LANNET. LANNET, a subsidiary of Madge Networks N.V., will pull Lucent into the intelligent LAN switch business, a market that Lucent says is growing 20% a year. "As we integrate more of our customers' complete networks, they're increasingly looking for an offering that reaches from the desktop to the WAN," says Bill O'Shea, president of Lucent's Data Networking Systems group. LANNET, with customers such as Airobus, BMW, and Peugot, will also give Lucent inroads to the European market. "It's a market that we believe is going to be one of the fastest- growing markets in data networking," O'Shea says, adding that European companies are migrating from hub and router systems to switched networks. Lucent says there is little overlap between its products and LANNET's, which will fill the gaps in Lucent's low-end product line. Although Lucent plans to make additional network acquisitions, LANNET's products, which target the workgroup environment, are "as close to the desktop" as Lucent will get. The 500-person switching company will remain in its home base of Tel Aviv, Israel, as part of Lucent's Enterprise Infrastructure Products Group. Its CEO, Shmuel Levy, will join Lucent as president of the EIPG Israel Technology Center. LANNET is the latest in a string of Lucent networking acquisitions; these include remote-access vendor Livingston Enterprises, Gigabit Ethernet company Prominet, and network-access equipment manufacturer Yurie Systems. -- Jeff Sweat ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~LANNET is in 3Com's playground. If 3Com has such "low-margin products" I wonder why LUCENT feels it needs to be in this network data space?