Nortel Networks signed an OEM agreement covering Promatory's platform last October.

A list of Nortel Networks' prior acquisitions

LUCENT EXPECTS REVENUE TO FALL BELOW EXPECTATIONS
Lucent Technologies expects revenues for the fiscal quarter ending December 31^st to fall below market expectations.  The company expects revenues in the range of $9.8 to $9.9 billion, and earnings per share of $0.36 to $0.39 cents compared to $0.48 cents for the year-ago quarter.  Factors contributing to the disappointing results include faster than anticipated shifts in customers' purchases to its newest 80-channel DWDM optical product line and greater than expected demand for OC-192 capability on the 80-channel systems, which resulted in near-term manufacturing capacity and deployment constraints.  The company also cited delays in network deployments by enterprises and service providers, lower software revenue and lower overall margins.  Lucent still expects its revenue growth to be 3 – 5% faster than the overall communications networking market. http://www.lucent.com/press/0100/000106.cob.html
Lucent Technologies, January 6, 2000

Separately, Nortel Networks confirmed that it remains very comfortable with previously stated financial guidance for fiscal 1999 and 2000.

AVICI EMPLOYS COMPOSITE TRUNKING TO PUSH ITS TERABIT SWITCH/ROUTER TO 40 GBPS
Avici Systems announced a "composite trunking" capability designed to support 40 Gbps rates on core IP backbones.  Avici's Terabit Switch/Router (TSR) will use the technique to aggregate speeds greater than OC-192.  Avici's Terabit Switch/Router (TSR) is being developed to handle up to 560 OC-192 ports, for an aggregate switched bandwidth of 5.6 Terabits/second. http://www.avici.com/pr/trunking.html
Avici Systems, January 6, 2000

Last September, Avici Systems completed a $40 million, third round of venture funding, led by the Sprout Group and existing investors Accel Partners, Brentwood Associates, and Oak Investment Partners, along with new investors J.P Morgan and MeriTech Capital Partners.

ENRON TESTS AVICI'S TERABIT SWITCH/ROUTERS, MAKES EQUITY INVESTMENT
Enron Communications made an equity investment in Avici Systems and announced its intention to integrate Avici's Terabit Switch/Routers in its network upon successful testing of the platform.  Financial terms were not disclosed.  Enron said it would develop its network to operate at 40 Gbps rates, giving its ISP and CLEC distribution partners with a new level of bandwidth-on-demand.  http://www.enron.net
Enron Communications, January 6, 2000

Enron is building is own high-capacity fiber network across the US as a "Pure IP broadband overlay to the Internet."  The network uses an IP/DWDM architecture and an InterAgent control layer software that provides event messaging, a reservation system, metering/billing, QoS control and directory services for distributed applications.  The company plans to extend its reach to Europe, Japan, Asia and South America with metropolitan POPs and local ePowered distribution partners.  The company is active in building a "bandwidth commodity market" enabling futures trading of bandwidth contracts.

CONEXANT SYSTEMS ACQUIRES MICROCOSM COMMUNICATIONS FOR PHYSICAL LAYER OPTICS
Conexant Systems has acquired Microcosm Communications, a developer of optical networking components based on complimentary-metal-oxide-semiconductor (CMOS) process technology, for up to $180 million in stock.  Conexant said the acquisition would expand its optical networking portfolio to cover the entire spectrum of optical networking transceiver solutions from OC-3 to OC-192 speeds.  Microcosm's products include high-speed LED, laser and VCSEL drivers, fixed- and variable-gain PIN pre-amps, integrated photo-receivers, post amps/quantizers, clock recovery, and Ethernet/Fast Ethernet transceivers.  Its main foundry partner is Taiwan Semiconductor (TSMC). Microcosm is based in Bristol, UK.  http://www.mcosm.co.uk/  http://www.conexant.com/
Conexant Systems, January 6, 2000

LSI LOGIC SHIPS 19 MILLION FAST ETHERNET MAC PORTS IN 1999
LSI Logic shipped over 19 million Fast Ethernet 10/100 MAC ports in 1999, giving it a 35.4% market share according to figured cited from the Dell'Oro Group.
http://www.lsilogic.com/news/nwsreleases/pr0209.html
LSI Logic, January 6, 2000

WINSTAR PLANS NEW INTERNET DATA CENTERS AND MS OFFICE ONLINE APPS
WinStar Communications will build new Internet data centers in New York City, San Francisco, Minneapolis and Brussels.  The company already has Internet Data Centers operational on Washington, DC, Boston and Seattle.  The facilities will be used in part to host Microsoft Office applications.  These will include other Microsoft applications such as Microsoft Outlook, Microsoft Exchange and Microsoft SQL Server, as well as financial, human resource, corporate purchasing and customer relationship management applications.  Introduction is expected by mid-year. 
http://www.winstar.com/press/2000/Templ.asp?fileid=0106001
WinStar, January 6, 2000

Last month, WinStar announced a $900 million investment by Microsoft and partners.

CISCO ANNOUNCES INTERNET HOME PLATFORM
Cisco Systems announced alliances with GTE, Sun MicroSystems and Whirlpool to develop an Internet Architecture for interworking home appliances.  The strategy is focused on delivery Internet access through cable, DSL and wireless service providers, while enabling devices within the home to connect to each other and to the Internet.  The first Internet Home Gateway will support the Home Phone Networking Alliance (HPNA) 2.0 specifications.  Product introductions are forecast for the fall of 2000.
http://www.cisco.com/warp/public/146/january00/cn_010600a.html
Cisco System, January 6, 2000

CABLETRON SELECTED FOR WIRED PORTION OF METRICOM'S WIRELESS NETWORK
Cabletron will supply multi-layer switching solutions for the wired portion of Metricom's Ricochet wireless network.  The deployment covers Cabletron's SmartSwitch Router 8600s, SmartSwitch 6500s and SmartSwitch 2000s, providing a combination of switched Gigabit Ethernet and ATM on the network backbone, with switched 10/100 Fast Ethernet to desktop users and WAN connections at DS-1/DS-3 speeds.  http://www.cabletron.com/ournews/2000/jan/1-06.html
Cabletron, January 6, 2000

In December, Metricom announced plans to expand its 128 kbps wireless mobile network to nine additional US cities, including Baltimore, Boston, Denver, Detroit, Kansas City, Miami, Minneapolis, St. Louis and Salt Lake City. Metricom uses a unique network architecture based on a digital packet-switched network and spread-spectrum radio frequency transmission.  The meshed frequency-hopping network use micro cell radio transmitters hung on streetlight and utility poles.  The company recently received a $600 million financial commitment from MCI WorldCom and Vulcan Ventures.