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

To: The Phoenix who wrote (55888)	10/13/1998 10:35:00 PM
From: Pigboy	Read Replies (2) \| Respond to of 61433

<< I typically don't do this, but I have to say.... I think I said this is what was going to happen...ALA would take ASND's technology and use it. What is ASND getting here? >> Why would Ascend do any deal with Alcatel when you so clearly state that Ascend gets nothing and Alcatel gets some good technology/product? If Ascend is hurt by Alcatel here, isn't also Csco? thanks pigboy

To: The Phoenix who wrote (55888)	10/13/1998 11:19:00 PM
From: bucky89	Read Replies (1) \| Respond to of 61433

I typically don't do this, but I have to say.... I think I said this is what was going to happen...ALA would take ASND's technology and use it. What is ASND getting here? They are selling their technology into ALA equipment but they aren't getting exposure to new customers and I don't think ALA will share this with ASND. [ALA is very smart. They could simply bleed ASND of their technological advantage and end competing with them.. ] Gary, I don't see what the big deal is here. Other than the press release, you don't know any of the details of how this cooperation is structured. Aren't you jumping to conclusions a bit on your conjecture that Alcatel is screwing Ascend? I think Mory's a bit smarter than that and knows what he's doing. The wording of the press release does not preclude some kind of revenue-sharing arrangement. Perhaps Ascend is selling the "router on a card" and Alcatel is selling the switch. Perhaps you're bummed that Alcatel is doing this with Ascend instead of Cisco. How dare they tread on Cisco's territory!!! You say Ascend will not get access to Alcatel's customers? I think that is a very incorrect statement. Who are Alcatel's customers going to call up for second-level support for their Ascend router cards? I believe they'll be working pretty closely with Ascend. That's very good for Ascend. We have a similar arrangement with Cisco/Red Creek for VPN encryption technology. The Red Creek encryption card is hosted on a Cisco PIX firewall, but we call Red Creek for the 2nd-level support on the card. It takes a lot more than acquiring the technology to steal customers. Are you suggesting that Alcatel is going to use this opportunity to reverse-engineer the CBX500 and then next year convince AT&T to buy their CBX500 replica? I think you know as well as I that it doesn't work that way. bucky89