re: Alcatel, Lucent Seal DealAlcatel has been becoming the biggest the competitor of Cisco, however, with the leadership from Lucent CEO, hmm... Cisco is safe now
re: Alcatel, Lucent Seal Deal"Just curious, but does anyone actually have an example of these mega-mergers that's actually worked? By this I mean where the combined company actually became worth more than the sum of its parts?"
Yes, all of them on paper.
Its' funny, the megadeal is always sold to the shareholders as "gotta happen, or dire circumstances will follow", or conversely "gotta happen, cause super things will follow".
But when it comes to the perk package of the CXX crowd, it seems the existing entities were just fine and would have done well, and the new entity is fraught with doubt and uncertainty...thus only a huge payout of cash will do.
And as a result of the payout, the CXX's leave, and move to Napa or Bordeaux to make wine.
Not that they could have run the combination any better than their successors, but that they had achieved their goals of getting mega-rich, and it was all going to the crapper anyway. I mean LU has to dump the retirees and ALA has q bloated workfarce (spelling intentional).
So why not at least someone get rich and retire out of the mess?
re: Alcatel, Lucent Seal Deal> Well I'd guess that their 1st order of > business will be to shit can the $207M purchase > of RSTN.PK junk that LU just bought, given > Alcatel has a much superior platform already in
This is at the very least, a highly irresponsible statement. What makes you think that ALA has a "much superior platform". I presume you are talking of a Timetra box. Well, its not as simple as that. Ti box is essentially an L2 box, while RSTNs 15K is a L3 box by design. There is nothing that says that Ti box is better than RSTNs and i would be interested in knowing as to who you concluded this.
ALA stole a lot of deals from RSTN, but that had nothing to do with RSTNs technical prowess, which everyone in the valley seems to be aware of.
> large scale deployments (i.e. Timetra boxes).
Ok, so you were indeed talking of the Timetra box.
> Maybe they'll take a few crumbs from Ericsson > now just to save their asses? Talk about not > coordinating acquisition startegies....duh!
I dont think RSTN would so easily be dumped by LU-ALA. But then i wouldnt indulge in this seemingly pointless speculation. I would rather wait and see as to what happens once the merger takes place. The effects of which'll be only felt after quite some time though.
re: Alcatel, Lucent Seal DealActually most of Alcatel employees are working outside of france, like most of Lucent ones outside of US. Most likely job actions will take place a bit everywhere over the world.
re: Alcatel, Lucent Seal DealThis is at the very least, a highly irresponsible statement. What makes you think that ALA has a "much superior platform". I presume you are talking of a Timetra box. Well, its not as simple as that. Ti box is essentially an L2 box, while RSTNs 15K is a L3 box by design. There is nothing that says that Ti box is better than RSTNs and i would be interested in knowing as to who you concluded this. ------------------------------------------
Au contraire, the TiMetra box is actually a router and far superior to the Riverstone. It is the only router out there that actually is competitive with cisco and Juniper. They have cost-reduced said box to build the L2 "service" focused 7450. I would say that the market has concluded that it is superior if you look at the deployments. Remember, Alcatel resold riverstone and still resells Redback and doesn't have nearly this much success with those platforms.
Saying this, I think that Alcatel will welcome the Riverstone guys and leverage as much out of that product and team as possible. Quigley, Alwan and those guys are no dummies. If the product fits a niche as a lower cost L2 solution they will sell it.
ALA stole a lot of deals from RSTN, but that had nothing to do with RSTNs technical prowess, which everyone in the valley seems to be aware of. ---------------------------------------------
;)
Everyone in the valley except you appears to be aware of the exact opposite. It is a decent product with some buggy code and incomplete feature set. Certainly not garbage but certainly not outstanding yet.
re: Alcatel, Lucent Seal DealWhile I don't think anyone KNOWS yet what will happen with RSTN and TiMetra in the merged company, I do have a bit of a disagreement with the "RSTN is a router, TiMetra is a L2 switch" statement. The 7750 (the router in the 7x50 stable) predates the 7450. The 7750 has a few million FIB entries, and 17M RIB entries. It also has one of only two NSR implimentations in existence today. That, along with a substantial (and rapidly growing) market share in edge ROUTING sorta discounts the "TiMetra is an L2 switch," dont'cha think?
re: Alcatel, Lucent Seal Deal...Ericsson, Cisco and Nortel!
Alcatel was really getting dominant, but now they will have sooo much politics to deal with.
Why would this trigger any other mergers? Like someone pointed out, there are no successful examples to copy.
All the big guys have global sales forces, global brands and outsources productions. So what can they gain? Sure, they can save some in sales and overlapping R&D.
The main external motivation is that the operators crave for: 1) A complete product portfolio, so that they can buy everything from one supplier. This is just not true, in most cases. Sure it's nice with fewer suppliers, but that wouldn't lead me into buying the third best product... 2) A large, stable partner. Perhaps LU were haveing some problems here, I dunno. Alcatel was large and stable enough, I mean look at the size of some of the hightech suppliers...
Of course, this is a pretty silly discussion. The real, personal, motives for the top mgmt are quite different, more like: 1) Russo sells out LU before it disappears alltogether 2) Russo gets another nice point for her resume. Of course, she will have absolutely no real influence over the new company, but I doubt she cares (think about it, an American woman, in Paris, trying to run a French-owned company with a French president. All the real decisions will be taken by the French.) She can focus on her political career or whatever is her interest in life. 3) Alcatel wins some prestige, some nice accounts and gets to be number one for a few quarters.
Yes, all of them on paper.
Its' funny, the megadeal is always sold to the shareholders as "gotta happen, or dire circumstances will follow", or conversely "gotta happen, cause super things will follow".
But when it comes to the perk package of the CXX crowd, it seems the existing entities were just fine and would have done well, and the new entity is fraught with doubt and uncertainty...thus only a huge payout of cash will do.
And as a result of the payout, the CXX's leave, and move to Napa or Bordeaux to make wine.
Not that they could have run the combination any better than their successors, but that they had achieved their goals of getting mega-rich, and it was all going to the crapper anyway. I mean LU has to dump the retirees and ALA has q bloated workfarce (spelling intentional).
So why not at least someone get rich and retire out of the mess?
Reality.
-WHy
> Alcatel has a much superior platform already in
This is at the very least, a highly irresponsible statement. What makes you think that ALA has a "much superior platform". I presume you are talking of a Timetra box. Well, its not as simple as that. Ti box is essentially an L2 box, while RSTNs 15K is a L3 box by design. There is nothing that says that Ti box is better than RSTNs and i would be interested in knowing as to who you concluded this.
ALA stole a lot of deals from RSTN, but that had nothing to do with RSTNs technical prowess, which everyone in the valley seems to be aware of.
> large scale deployments (i.e. Timetra boxes).
Ok, so you were indeed talking of the Timetra box.
> Maybe they'll take a few crumbs from Ericsson
> now just to save their asses? Talk about not
> coordinating acquisition startegies....duh!
I dont think RSTN would so easily be dumped by LU-ALA. But then i wouldnt indulge in this seemingly pointless speculation. I would rather wait and see as to what happens once the merger takes place. The effects of which'll be only felt after quite some time though.
Peace!
No way, LU has already got Riverstone, now riverstone seems to be gone, it's no better than Alcatel 7750/7450/7150 anyway, why they need Juniper?
------------------------------------------
Au contraire, the TiMetra box is actually a router and far superior to the Riverstone. It is the only router out there that actually is competitive with cisco and Juniper. They have cost-reduced said box to build the L2 "service" focused 7450. I would say that the market has concluded that it is superior if you look at the deployments. Remember, Alcatel resold riverstone and still resells Redback and doesn't have nearly this much success with those platforms.
Saying this, I think that Alcatel will welcome the Riverstone guys and leverage as much out of that product and team as possible. Quigley, Alwan and those guys are no dummies. If the product fits a niche as a lower cost L2 solution they will sell it.
ALA stole a lot of deals from RSTN, but that had nothing to do with RSTNs technical prowess, which everyone in the valley seems to be aware of.
---------------------------------------------
;)
Everyone in the valley except you appears to be aware of the exact opposite. It is a decent product with some buggy code and incomplete feature set. Certainly not garbage but certainly not outstanding yet.
Alcatel was really getting dominant, but now they will have sooo much politics to deal with.
Why would this trigger any other mergers? Like someone pointed out, there are no successful examples to copy.
All the big guys have global sales forces, global brands and outsources productions. So what can they gain? Sure, they can save some in sales and overlapping R&D.
The main external motivation is that the operators crave for:
1) A complete product portfolio, so that they can buy everything from one supplier. This is just not true, in most cases. Sure it's nice with fewer suppliers, but that wouldn't lead me into buying the third best product...
2) A large, stable partner. Perhaps LU were haveing some problems here, I dunno. Alcatel was large and stable enough, I mean look at the size of some of the hightech suppliers...
Of course, this is a pretty silly discussion. The real, personal, motives for the top mgmt are quite different, more like:
1) Russo sells out LU before it disappears alltogether
2) Russo gets another nice point for her resume. Of course, she will have absolutely no real influence over the new company, but I doubt she cares (think about it, an American woman, in Paris, trying to run a French-owned company with a French president. All the real decisions will be taken by the French.) She can focus on her political career or whatever is her interest in life.
3) Alcatel wins some prestige, some nice accounts and gets to be number one for a few quarters.