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

To: Harold S. Kirby who wrote (29907)	4/23/1999 7:44:00 AM
From: polarisnh	Read Replies (2) \| Respond to of 45548

Harold, I don't think Lucent needs or wants 3Com. What are the major areas of business that 3Com is in? Remote Access, Palm products, modem/PCMCIA, stackable LAN switch solutions, and their legacy product line that all vendors who have been around for a while have. Lucent just bought Ascend and already have Livingston so between them I think that will round out their Remote Access, Frame Relay, ATM and Carrier-class product lines. Lucent bought a small LAN Switching company a few years ago and already have their own 100 megabit and 1 gigabit Ethernet switches. (I do not know if the gigabit switch is in major release but I saw one in production at their campus in Coppell, Texas.) Therefore, there isn't a real need to acquire 3Com's switching and legacy product lines. I don't believe the Palm product line would be in the companies area of expertise and therefore would be spun off. The same goes with modems and PCMCIA cards. These products aren't going to give Lucent the upper hand against Cisco. Now if they were to acquire Juniper that would be a whole different story. IMHO, Steve

To: Harold S. Kirby who wrote (29907)	4/23/1999 8:22:00 AM
From: Al Cano	Read Replies (2) \| Respond to of 45548

AT&T Armstrong wants cash cows thus LUCENT will be doing the Same & 3COM is a cash Cow. Lucent would benefit w/new technologies from 3com. As you know, Lucent was a part of AT&T as a result Lucent are looking for cash cows also. I came up with this conclusion yesterday since I heard the Lucent VP report that they want to grow at a 20% growth rate. As you know, Lucent can not reach this without cash cows. I don't think they want to take the AT&T strategy however Lucent wants to be a part of the linkage or connector of all the data/voice communications technologies. In addition, 3COM's QOS solution is needed which CSCO, & Nortel are stuggling to master. As you know, Lucent is trying to master it also. Only 3com has mastered QOS solution. In short, Lucent would be one of the only American company with the cash to buy 3COM and they can use 3com in it's future growth and strategies. (( This is my opinion and conclusion )). In reference IBM's positive earnings, yes, it should boost the tech sector. In addition, Gateway's earnings is very positive news also. SUNW had a positive report & beating WS expectations & took a hit however it is now recovering. In short, 3com should benefit with the positive news. Al