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Compaq switches tack on networking

Pulls out of networking access market

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Compaq is pulling out of the networking infrastructure market. A letter sent out to resellers and customers this week claims that the PC giant can no longer provide the broad spread of networking products demanded by customers and that it is walking away from the market altogether. The letter says: "It has therefore been decided that we will no longer provide via our Partners' (sic) infrastructure networking products either as Compaq-branded products or the legacy Digital-branded network products." Those products no longer being sold under the Compaq bade will still be available from Compaq's OEM partners and will still be sold by Compaq's professional services division. The move will affect sales of hubs and switches through the channel. A source close to the Compaq networking division said the total volume of sales generated by the canned products had "never amounted to a substantial figure". All the products in Compaq's network and access communication division have been moved to end-of-life status and will be phased out by February 2000. Despite pulling these products from its channel, Compaq has pledged to honour all support agreements. Details of the change of direction at the Compaq network and access communication division can be found here. ®

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