Nortel wants to unload application-delivery unit to Radware

Nortel wants to sell off its application-delivery gear to Radware, but to keep on selling it under an OEM agreement.

While Nortel says it would like to proceed with the deal, it has also filed papers in US and Canadian bankruptcy courts that would allow others to bid on the layer 4 to 7 technology assets and make higher, better offers, the company says.

Radware would not say how much it bid.

The products involved are Nortel's via its purchase of Alteon WebSystems in 2000. Radware would sell the gear under the brand name Radware Alteon, and Nortel could resell it.

Radware wants to buy Nortel's Layer 4-7 application delivery products, intellectual property, and some inventory and service contracts. Radware would also hire some Nortel employees to continue developing the technology.

The products involved are Nortel Application Accelerators 510 and 610; Nortel Application Switches 3408E, 2424E, 2424 SSL E, 2216E, 2208E; and the Virtual Services Switch 5000.

Other vendors, including Enterasys, Extreme Networks, F5 and Juniper, have all been trying to lure Nortel customers away from these products and to their own similar offerings.

Radware says its purchase of the product lines would assure customers that they will receive continuing support for the equipment despite Nortel's bankruptcy proceedings. "Our ultimate goal is to provide them with a stronger, integrated product backed by world-class support and a globally-focused organization," says Radware CEO Roy Zisapel.

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