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To: Lost in New York who wrote (25164)	11/24/1998 9:28:00 AM
From: Moonray	Respond to of 45548

Cahners In-Stat Group Announces that Fast Ethernet LAN Switches Have Overtaken Ethernet Switches in Q3 1998; Hub Market Declines in Revenues Despite Increase in Ports Shipped BW - 08:05 a.m. Nov 24, 1998 Eastern SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Nov. 24, 1998--Cahners In-Stat Group announced in its Q3 1998 Networking Quarterly results that combined, the LAN hub and switch market stayed flat in end use revenues at approximately $3 billion in Q398. The report also announced that switch ports are on the rise as a percentage of overall LAN ports shipped, representing 41.5% of the total in Q3. 3Com maintained market leadership for the LAN hub and switch markets with 25% port share in Q2 98. Cisco leads in end-use sales with 35.4% share in Q3. The LAN Packet Switch market remained relatively flat after double-digit growth in Q2. Switch port shipments increased 24 % to 13.17 million and end-use sales increased 1% to $2.36 billion. For the first time, Fast Ethernet Switch ports represented the majority of end-use sales and ports, reaching 49.9% of the total ports shipped and 61.5% of sales in Q3 98. Although many players in this market experienced triple digit growth, Cisco and 3Com still lead the Fast Ethernet switching segment in both revenue and ports. "The vendors that did very well this quarter had their hand in the Fast Ethernet market," said Emmy Johnson, senior analyst for Cahners In-Stat Group's Networking Services. "The majority reported increases in both revenue and ports shipped." This segment will continue to increase as users transition their networks from either Ethernet or FDDI. Separately, the Q3 Shared Media Hub market increased slightly in ports shipped over Q2, while continuing its descent in overall sales. Hub ports shipped were up 2% sequentially to 18.5 million and revenues were down 7.3% to $664 million. "The story in the Shared Media Hub market continues to be the movement towards low cost, stackable hubs and the gradual transition to Fast Ethernet," observed Mike Wolf, industry analyst for Cahners In-Stat Group Networking Services. "LAN Packet Switch and Hub Market Analysis," No. CQ9804M1/M6, is Johnson's and Wolf's new report for Cahners In-Stat Group's Networking Quarterlies Service. It includes detailed market shares, key vendors and a rolling three-quarter forecast of the LAN hub and switch market. The report is priced at $2,995, 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 Emmy Johnson or 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