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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?


To: bucky89 who wrote (55341)10/6/1998 2:28:00 PM
From: Mark Duper  Read Replies (1) | Respond to of 61433
 
update:
nasdaq 1504
csco 46 17/32
lu 56 5/16

ASND 35 1/8



To: bucky89 who wrote (55341)10/6/1998 3:34:00 PM
From: pat mudge  Read Replies (2) | Respond to of 61433
 
Could you give specific evidence when you suggest orders aren't coming in for NN's 36170?

I never said anything of this sort! You seem to have completely missed my point.


Are you saying you weren't trying to leave the impression NN's 36170 wasn't selling well? If so, are you saying it is?

Let's walk through a couple recent posts. On October 4 you say:

I do not know very much about SBC, but I would suspect that they had Newbridge switches in place even before this new contract. If I am wrong, someone please show me otherwise.

In 1995 NN supplied SBC with their 36150, primarily for distance learning and video conferencing. I can find nothing to indicate the 36170 was involved before this recent announcement.

mainstreetxpress.com

As far as Telekom SA, this is likely a very small ATM network, and the article says this is new infrastructure, implying that they did not have an ATM network beforehand. . . . My point still stands. I know of no service provider replacing their switches with Newbridge's or any other's. Once a provider decides on an ATM vendor, that is more or less permanent. The bigger the network, the harder to change vendors, and the more permanent the decision.

So is it positive to have an installed base or isn't it? With SBC you indicate NN was already there and therefore the new contract was just a follow-on. With Telekom SA you say it's a new contract and therefore unimportant. It appears where NN's involved it's negative whether new or a continued contract.

In a different post the same day you say:

My point is that there are very few if any examples of a service provider switching equipment suppliers. There is only one example that I know of, and that is AT&T dumping Stratacom for Ascend. That is the norm in the networking industry, and that is NOT going to change regardless of who the equipment vendor is, including Lucent. . . .

I have several coworkers who have carefully evaluated Newbridge's technology. Their most successful ATM product, the 36170, is more than four years old and the 36170's they are selling today have not changed much in those four years. Their newest products, the VIVID switches, have not been selling, and for good reason--they are intensely buggy and unreliable. My understanding is that the vast majority of their revenues are from the older 36170-class switches, and they are from customers who have been using them since they were first introduced. I suspect (although I do not know first-hand) SBC falls into this category, since SBC is an RBOC and will likely have some ATM infrastructure for some years by now.


Your information on the 36170 is false, as Gary Korn pointed out, leading me to wonder why you're so clearly trying to paint a negative picture.

It is the major carrier major where performance and robustness matter. In smaller, lightly loaded networks, a carrier or enterprise can get away using a cheaper, poorer-performing solution. Furthermore, carrier customers are likely less demanding in places such as South Africa, and a network outtage is no big deal. But in the US and other industrialized areas, businesses depend very heavily on the networks supplied by their service providers. Just look at what happened to AT*T earlier this year.

NN just won a $300 million contract from SBC which you may or may not know consists of Southwest Bell and PacificTelesis (PacBell), and will soon include Ameritech. They also won AT&T and before that BT and C&W.

Are these examples of third world countries putting in new systems with inferior products because they don't know any better?

The SI forums will succeed to the extent we all make every effort possible to share substantiated information. And where sources can't be given it behooves us to be certain to 5 nines that our information is correct. You have the same abilities to research your comments as I do. Shooting from the hip in an attempt to hurt Newbridge hurts Ascend equally.

Regards,

Pat