FRAMINGHAM (03/03/2000) - Cabletron Systems Inc. has announced a partnership with Siemens AG Information and Siemens' Communication Networks Group to integrate and market Enterprise IP, a new line of communication products.

The companies will package Siemens' HiNet Xpress multimedia communication software, IP telephones, IP gateways and IP terminal adapters with Cabletron's SmartSwitch Router and SmartSwitches, and Spectrum management software.

The companies will then jointly market these IP telephony systems to customers building e-commerce business operations.

By endorsing Cabletron's convergence products and strategy, the German telecom giant is further distancing itself from 3Com, with which it had a similar arrangement that was to blossom into a new, jointly staffed firm focused on IP telephony.

Plans for that company were subsequently scrapped, and the relationship between Siemens and 3Com has gone silent.

Broadcom last week bought Digital Furnace Corp. for $136 million in stock that will give the communications chip maker software to turbocharge its cable modems.

The big prize from the deal is Digital Furnace's software called Propane, which provides an upgrade to the DOCSIS 1.1 cable standard and promises to boost data throughput to more than three times current DOCSIS modem levels.

Broadcom intends to run Propane on its cable modem chips. Broadcom is also planning to develop similar software for wireless Internet access and digital subscriber line modems.


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