AT&T BROADENS CORPORATE VOICE OVER IP PORTFOLIO
AT&T added VoIP to its portfolio of corporate Managed Data Network Services.  The new service compresses voice into IP packets for transport over each company’s VPN on the AT&T Global Network.  AT&T provides design and analysis of optimal network sizing.  It also manages the network, access, and on-premises routers.  The company said a chief advantage of the service is the ability to manage voice and data expenditures together.  Earlier this year, AT&T introduced Managed Internet Service (MIS) with VoIP and Managed Router Service (MRS) with VoIP.  http://www.att.com/press/item/0,1354,3967,00.html
AT&T, September 4, 2001

WORLDCOM BUILDS 1,000 SITE IP VPN FOR TOYOTA
Toyota Motor Sales USA has now installed 1,000 dedicated site connections into an IP VPN provisioned by WorldCom.  The massive data network securely links Toyota Motor Sales USA offices with independent Toyota and Lexus dealerships, private distributors and business partners across the country.  WorldCom described the deployment as one of its largest VPNs to date.  Financial terms were not disclosed.  http://www.worldcom.com/about_the_company/press_releases/display.phtml?cr/20010904
WorldCom, September 4, 2001

GENUITY AND IIJ TEAM ON IP VPNS IN JAPAN
Genuity and Internet Initiative Japan announced a partnership to offer managed IP Virtual Private Network (VPN) services to enterprises in Japan.  The service is available on DSL, T1/E1 and T3/E3 lines.  It will use Nortel Networks’ Contivity VPN switches, which scales from a few IP VPN tunnels up to 5,000 tunnels per switch over the Internet.  http://www.genuity.com/announcements/news/press_release_20010904-01.xml
Genuity, September 4, 2001

KOREA THRUNET LAUNCHES VOIP SERVICES
Korea Thrunet, Korea’s largest cable modem broadband Internet-access services provider, launched VoIP service for residential and Small Office Home Office (SOHO) customers.  Thrunet's VoIP service, which is delivered over an HFC network, has a monthly subscription fee of KRW 3,000 (US$ 2.30).  Phone-to-phone domestic long-distance calls are charged at the same rate as local telephone calls.  A customer premise gateway enables users to access the VoIP service using conventional telephones, even if the PC is turned off.  http://english.thrunet.com/ir/press_release_read.asp?page=1&num=93
Korea Thrunet, September 4, 2001

• Korea Thrunet reported a total of 1,050,807 broadband Internet subscribers as of the end of June.

EXTREME NETWORKS TARGETS NEW CLASS OF APPLICATION SWITCHES
Extreme Networks unveiled plans to build a new class of network device, called an Application Switch, for analyzing Layers 4 through 7 of every packet at gigabit wire speeds.  In Extreme’s Application Switching, TCP/IP session origination, analysis, modification and termination functions are all done in wire-speed hardware.  http://www.extremenetworks.com/corporate/pressroom/news/pr09_04_01.asp
Extreme Networks, September 4, 2001

BROADCOM SHIPS WORLD'S FIRST SINGLE-CHIP MODEM FOR BROADBAND FIXED WIRELESS
Broadcom announced commercial availability of a single-chip modem specifically designed for broadband wireless access.  The chip leverages Vector Orthogonal Frequency Division Multiplexing (VOFDM), an advanced RF physical layer (PHY) technology designed to address non-line of site reception.  The new chip, which combines the functionality of ten previous ICs, supports over 48 Mbps of symmetrical two-way data.  It also offers a full DOCSIS 1.1-capable Media Access Controller (MAC) and is compliant with the Broadband Wireless Internet Forum 1.0 standard.  The chip was developed in partnership with Cisco Systems.  http://www.broadcom.com
Broadcom, September 4, 2001

CISCO TUNES ITS ENTERPRISE SECURITY SOLUTIONS
Cisco Systems announced a number of initiatives to address critical components of a secure network, including perimeter security, intrusion protection, management, and secure connectivity.  The announcement includes the release of a new security appliance for small office/home office environments (Cisco PIX 501 Firewall), a software solution that proactively detects malicious activity and blocks access to server resources before damage can occur (the Cisco IDS Host Sensor), and a VPN acceleration add-on blade for Cisco 7100 and 7200 Series routers that delivers high-performance IPSec encryption throughput for head-end site-to-site VPN deployments.  http://www.cisco.com
Cisco Systems, September 4, 2001

TI ACQUIRES GRAYCHIP FOR DIGITAL CONVERTERS
Texas Instruments will acquire Graychip, a privately held silicon developer based in Palo Alto, California, for an undisclosed sum.  Graychip develops re-configurable digital down converters (DDC) and digital up converters (DUC), which provide the link between the digital signal processor (DSP) and data converters inside digital communications equipment.  Graychip's DDC and DUC chips are used in a variety of high-speed signal processing applications, including digital radio, wireless base stations, point-to-point microwave communications, broadband wireless access, cable modem head-ends, digital video and digital video distribution systems.  Graychip has 14 employees.  http://www.ti.com/corp/docs/press/company/2001/c01034.shtml   http://www.graychip.com/
Graychip, September 4, 2001

GDC SELLS ITS VITAL NETWORK SERVICES UNIT TO MAYAN NETWORKS
General DataComm Industries (GDC) sold its VITAL Network Services business unit (VITAL) to MAYAN Networks Corporation for $23.5 million, comprised of $6.4 million in cash and $17.1 million in a combination of notes, stock, and assumption of liabilities.  In addition, GDC will retain $8.0 million of VITAL's accounts receivable.  VITAL provides professional services, managed-network services and multi-vendor support for customers worldwide.  For the fiscal year ending September 30th, 2000, VITAL had worldwide revenues of $48.8 million.  http://www.gdc.com/
General DataComm, September 4, 2001

• Last month, Ahead Communications Systems, a supplier of broadband access solutions based in Vienna, Austria, acquired General DataComm’s APEX ATM division for $20 million, comprised of $3 million in cash and a $17 million note, which matures in one year.  Ahead Communications said GDC’s APEX ATM switches complement its own DSL-based access products, enabling it to provide a solution extending from the core to the customer premise.  The APEX team includes about 100 employees.
• In March, MAYAN announced it was acquiring Ariel, a publicly traded provider of high-density, SS7-enabled dial-up access equipment.  The transaction is currently in the process of closing. Ariel is based in Cranbury, New Jersey.  MAYAN Networks is based in San Jose, California.
• MAYAN's smart SONET box is designed to replace traditional add-drop multiplexers (ADMs) while integrating the functionality of a 3/1/0 Digital Cross-Connect Switch, a Frame Relay Switch, an ATM Switch and IP Router.  A key feature of the MAYAN Unifier platform is its ability to interoperate with existing SONET ADMs at the physical, control and signaling levels.

MARCONI ANNOUNCES DEEPER LOSES, NEW MANAGEMENT TEAM TAKES OVER
Citing a rapid decline in sales and the continued uncertainty regarding levels and timing of service provider spending, Marconi announced a half-year operating loss and further corporate restructuring aimed at delivering a second quarter breakeven at the operating level before provision increases and write-downs.  Sir Roger Hurn (Chairman) and Lord Simpson (CEO) have resigned from the Board and the company.  Derek Bonham was named interim Chairman until a new Chairman is appointed.  Mike Parton has been appointed Chief Executive of Marconi, effective immediately.  Furthermore, Marconi was cut approximately 2,000 additional positions.  Also as part of its restructuring, Marconi plans to focus its resources primarily on:

• optical networks (SDH/DWDM)
• high capacity packet switches
• broadband access platforms that interface with the core of the networks
• software and support services associated with these products

http://www.marconi.com/html/news/tradingupdateoperationalreviewseniormanagementchanges.htm
Marconi, September 4, 2001