Tuesday, September 28, 2021

The top four networking stories of 1998

1. Northern Telecom Ltd. acquires Bay Networks

Without question, this was the networking deal of 1998.

When Nortel bought Bay for a whopping US$9.1 billion, it unleashed a trend amongst vendors to converge traditional data networking with voice and video networks. Lucent Technologies beefed up its data networking content by acquiring Prominet and other start-up companies, and Cisco, being, well, Cisco, has been moving in this direction for a few years.

What’s all the fuss about convergence? The idea of running everything on a single network is supposed to bring more benefits at a cheaper cost. But most network managers are sitting tight for now because the technology is far from mature. Also, having voice and data each competing for network-traffic priority could raise problems.

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Jim Love, Chief Content Officer, IT World Canada

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