The
Sky is Falling... The Sky is Falling
or
how many times do I have to hear about the 3Com Core Builder saga?
By Glenn
Conley
President/CEO
Metropark Communications,
Inc.
Yes Virginia,
large manufactures do discontinue products when they've run their
course. Did Ford discontinue the Model T, how about the Thunderbird
and Mustang
did they come back? What did Chevy do with the
Nova, didn't Volkswagen go bug-less for a good number of years?
In order
to make room for newer ideas and products all manufacturers make
these types of decisions. But after 3 years since 3Com decided
to retire the Core Builder 9000, why do I still hear that 3Com
doesn't stand behind their products. The day that 3Com discontinued
that product, the news sent shockwaves throughout the technology
sector. Rumors of 3Com getting out of business
3Com selling
off all of its product lines so it could be sold off to another
company
3Com exiting the Enterprise marketplace. I hear
the same nonsense today
3 years later!!
The truth
of the matter, the Core Builder 9000 was a very stable core switch
but it made up only a fraction of 3Com's revenue, and yet their
manpower focusing on this enterprise product was considered out
of proportion to its revenues. I feel this focus was due mainly
to their need to compete with other manufacturers in the enterprise
marketplace.
When 3Com
announced that they would no longer be manufacturing new Core
Builder 9000's, they knew the customers would be fully supported
by 3Com for 5 years into the future. In fact, here in the year
2002, with the 3Com
loyalty program, any customer with an old Core Builder switch
can upgrade to the new 4007 series chassis for free. Allowing
their past investment in the core builder and its blades to now
live in the Switch 4007, a brand new and fully supported switch!!
Two big companies
that have had trouble in the tech sector and Wall Street recently
are Cisco and Nortel. Both companies were very loud in predicting
the demise of 3Com. "What goes around
comes around"
my grandmother used to say!
3Com's stock
is up, 1.37
billion dollars in the bank, gross margins up over 38%, and
a fantastic product line that continues to blow away the competition.
No wonder those other guys want the enduser to believe the sky
is falling.
Replies:
I've had 27 positive responses to my article (so far). In hopes
of being fair to all counter points of view, I'll post the negative
ones here, along with my replies:
yoel
blumberger
:yoel@topcom.co.il
When Ford discontinued T model they supplied their customers with
substitution. 3Com, till today, 3 years after their move, still
don't have a descent switch with functionality and density that
will provide the needs of the customers. They will talk with you,
building funny networks from many little "mini core"
switches in order to get a system that has only half the ports
needed. There is a way to discontinue , the way 3Com used made
many customers to abandon 3Com and they will not buy 3Com products
even if they are cheap and good.
Greetings
Yoel,
Thank you for your reply to my article on 3Com's End Of Life of
the CB9000. I believe that since 3Com was not really focusing
on the very LARGE enterprise market at that time, their CB9000
had simply run its course. If you need more than 54 Gig in a single
box, then you would be advised to purchase from a manufacturer
that focuses on that market space. My point was to bring out the
politics of the whole CB9000 issue. Most of the complainers about
3Com's exit of that market, never bought the Core Builder to begin
with. As far as our few customers who did make the purchase, 3Com
has available parts for a period of 5 years, and now with their
new switch offerings, the whole CB9000 issue is mute.
For your review, I'm attaching a very recent article about Cisco
being sued over exiting one of their products. To my knowledge,
3Com was never sued over their decision to discontinue the CB9000.
No harm, no foul...
Thanks again for your reply and have a nice day,
Glenn Conley
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