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

To: joe who wrote (21374)	9/10/1998 4:34:00 PM
From: jim bender	Read Replies (2) \| Respond to of 45548

3Com Up 5% On Renewed Speculation Of Intel Merger By MARIA V. GEORGIANIS Dow Jones Newswires NEW YORK -- Published rumors that Intel Corp. (INTC) officials have been spending "an inordinate amount of time" at 3Com Corp.'s (COMS) headquarters lately renewed speculation that Intel and 3Com were considering a merger and sent 3Com up 5.2% Thursday. Thursday's speculation was spurred by TheStreet.com columnist Herb Greenberg, who wrote that sources told him Intel officials have been spending a lot of time at 3Com. He repeated the information during a Thursday CNBC appearance. "It's plausible but my read on my discussions with 3Com management makes me believe it's not likely," said Sanford C. Bernstein analyst Paul Sagawa. While Intel is known as a chip maker, it also has the second-largest market share in network interface cards following 3Com, Sagawa said, noting that Intel heretofore has "given appearance of dipping its toe," in the networking equipment market. But Intel is interested in adding more functionality to its computer motherboards, Sagawa noted. A combined Intel-3Com would create a company with an at least 70% share of the network interface card market, the analyst said. Network interface cards allow computers to connect to a network. Intel declined to comment on the rumor. 3Com couldn't be reached for comment. 3Com was recently up 1 5/16 to 26 11/16 on Nasdaq volume of 9.4 million, compared with average daily volume of 7.5 million. The shares reached an intraday high of 28 1/8. Intel was off 1 15/16, or 2.4%, to 79 5/16. -By Maria V. Georgianis; 201-938-5244; maria.georgianis@cor.dowjones.com A 3Com spokesman declined comment on Thursday's speculation that the company may be considering a merger with Intel. However, the spokesman said 3Com and Intel have a number of projects on which they collaborate, so contact between employees of the two companies isn't uncommon. Analysts, in general, seem to doubt that a combination between the two companies is possible. It is unlikely Intel wants to be a major network interface card or modem vendor, said one. However, Intel may be interested in 3Com's networking business, said another. -Maria V. Georgianis; 201-938-5244; maria.georgianis@cor.dowjones.com -Mark Boslet contributed to this report; 650-496-1366 Briefing Book for: COMS \| INTC