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To: Tom Gebing who wrote (25065)	11/23/1998 8:50:00 AM
From: Moonray	Respond to of 45548

Network Interface Card Market Grows an Impressive 15% in Q3 98 According to Cahners In-Stat Group; Industry's First Ever Gigabit NIC Market Shares Show Explosive Growth - BW, 07:59 a.m. Nov 23, 1998 EST SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Nov. 23, 1998-- Cahners-In-Stat Group reveals that the Network Interface Card (NIC) market experienced exceptionally strong sequential growth in both units shipped and revenues for Q3 of 1998 in a recent NIC market analysis report. This growth was fueled largely by the continued strength of the Fast Ethernet market as more buyers continue to future-proof their networks with higher speed 10/100 cards. This migration resulted in 15% sequential growth in units shipped to 13.3 million units and 8.5% growth in revenues. "Fast Ethernet continues to show incredible momentum," commented Mike Wolf, industry analyst with Cahners In-Stat Group Networking Group. "In just three quarters Fast Ethernet has gone from a little more than 40% of the NIC market to approximately 62% in Q3." This shift will continue with Fast Ethernet making up more than 70% of units shipped by the end of Q2 1999. The dominance of 3Com and Intel continued in the highly competitive Fast Ethernet market. Intel had an exceptionally strong quarter with shipments growing 76% which resulted in a nine percentage point increase in market share. 3Com grew shipments by 12.4%, but saw market share drop slightly to 44% of the overall Fast Ethernet NIC market on the strength of Intel's quarter. Together, these two companies make up nearly 76% of the Fast Ethernet NIC market. In the industry's first ever look at market shares in the budding Gigabit NIC market, Cahners In-Stat Group reports how the Gigabit NIC vendors fared in the battle for market share in this explosive market. "Much like in the early days of the Fast Ethernet NIC market, Gigabit will see eye-popping growth rates for the next few quarters," explained Wolf. Ethernet has proven itself as a reliable, scaleable technology and Gigabit is the next logical step in this progression. Network Interface Card Service, No. CQ9804M5, includes detailed market shares, key vendors and a rolling three-quarter forecast of the NIC market. The report is priced at $2,495, which includes analyst inquiry privileges on topics covered in this report. To purchase this report, or for more information on Cahners In-Stat Group's services, contact Linda Morganstern at 408/345-4449 (FAX: 408/345-4400, email: lmorganstern@cahners.com). Press may also call Mike Wolf directly for discussions of the report. Headquartered in Newton, Mass., Cahners In-Stat Group is a high-technology market research firm with comprehensive understanding of computer and convergence, networking, wireless, telecommunications, Internet, enterprise software, and semiconductor market. Offices are also located in Scottsdale and San Jose, Calif. Cahners In-Stat Group, formed by the merger of In-Stat and Business Research Group, is part of Cahners Business Information, the largest publisher of specialized business publications in the United States, and a division of Reed Elsevier. Visit Cahners In-Stat Group online at cahnersinstat.com. Copyright 1998, Business Wire o~~~ O