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

To: craig crawford who wrote (20174)	8/5/1998 9:04:00 AM
From: let	Respond to of 45548

Just posting Craig's article because it sums up the weakness in COMS Cisco takes top spot in Internet-dial up from 3Com August 4, 1998 08:59 PM NEW YORK, Aug 4 (Reuters) - Cisco Systems Inc. CSCO said it has outpaced arch-rival 3Com Corp. COMS to become the No. 1 supplier of dial-up Internet access equipment, overcoming its late entry into the fast-growing market. Dial-up access products are sold to phone companies and Internet service providers who install them in switching centers to connect customers dialing in over phone lines to the Internet. In an interview, Cisco CEO and President John Chambers said the company's dial-up access business has been growing far faster than competitors 3Com and Ascend Communications Inc. ASND Sales of such dial-up products grew 90 percent during Cisco's May-July quarter compared with the same year-earlier quarter, and 18 percent from the third quarter, Chambers said. He declined to break out specific revenue numbers for the products, in keeping with the company's practice, but said that the rapid growth had put it ahead of 3Com in terms of revenues for the first time. Cisco already had surpassed Ascend in this market earlier in the year, he noted. "Everybody puts us ahead of Ascend and now we've closed on 3Com," Chambers said in an interview late Tuesday, referring to analyst estimates of the various players in the market. The company also said it moved into the No. 1 position in the Token Ring networking market for the first time. Token Ring is a type of network used to connect mainframe computers and other large computer systems used in large organizations. 3Com was previously the market leader here too. In general, Cisco said that during the latest quarter the company remained No. 1 or No. 2 in each of the major market segments in which it competes. ((-- Eric Auchard, New York newsdesk, 212-859-1840)) REUTERS Top

To: craig crawford who wrote (20174)	8/5/1998 10:03:00 AM
From: blankmind	Read Replies (2) \| Respond to of 45548

earlier in the year when csco claimed it had passed asnd, this was not the case, i wonder if this is true? it will be interesting when actual independent numbers are released.

To: craig crawford who wrote (20174)	8/5/1998 12:25:00 PM
From: Shroder Wertheim (Hijacked)	Read Replies (2) \| Respond to of 45548

This is what makes Cisco a great marketing machine. It uses very opportunity to create market perception, since Bay is no longer a strong competitor, Cisco uses earning announcement to bash COMS and ASND. COMS had a slow quarter due to inventory adjustment and it is over now. Market share is a magic number that you can play with. Cisco Cat 5500 generates 15% revenue, which is an over-engineering, way over price, low performance product. The reasons for it to sell so well - (1) it is from Cisco (2) was early to market. (3) strong corporation relationship (4) great marketing and lock customers in technology. (5) COMS, Bay, CS switching router products was late, the market were not ready. But that definitely change now. (6) High stock price, it is to Cisco advantage to have high price, making it easier to make acquisiton. It is known in the valley that Cisco is just public news, public books and then uses free-stock to acquire whatever startup it wants. It has a bunch of fat employees. Cisco is strong, but not in terms of product quality and performance. Wait till Juniper ships ISP and carrier class router. One of the hottest area - switching router (layer 2 and layer 3 device) with or without Gig, where Bay, COMS and many startups are starting to see hugh revenue and market share, where Cisco is nowhere to be seen. It is going to hurt Cisco sooner or later.