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

To: DRRISK who wrote (29237)	3/25/1999 9:29:00 AM
From: Racso	Respond to of 45548

DDRISK, pressure seems to be building on 3COMS management to restructure the business. The WSJ article is quite forceful suggesting to sell divisions. The Financial Times run a similar story yesterday. In any event, we should expect some momentum building up on the stock price as well.

To: DRRISK who wrote (29237)	3/25/1999 10:03:00 AM
From: BobInBush	Read Replies (1) \| Respond to of 45548

Dr Risk; 3Coms grand scheme is to be able to provide the network from the user to the server. They have 95% of the pieces now. This naturally involve some low margin elements and some high margin elements. The companies only real sin is not being able to do a good job selling this. They have made great strides in brand name recognition. For IT network planners and operators, nothing is worse than piecing together a network with units from many different vendors(Cisco plan). A lot of good companies make low margin products and do well. The problem with 3Com is that every one compares them with Cisco, who is only focused on the higher margin routers and such. In the mean time, 3Com has been selling some low cost level 2/3 switches that supercede the need for routers in smaller enterprises and campus type settings. Don't sell the bottom end products short, they help whole picture.