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3Com

Corporate Headquarters:
Marlborough, MA
North American Headquarters:
Marlborough, MA    Map it
Web site:  www.3com.com Employees: 1,800
Annual Revenues: $651M Annual Revenues Year: 2005
Stock Market: NASDAQ Stock Ticker: COMS Quote

Headline: 

3Com's NBX family of VoIP products has done well with SMB customers despite the company's lack of extensive history in the voice business. This has primarily been because of the products' ease of installation and attractive pricing, particularly in the case of the new NBX V3000. 3Com's products are widely available but not all of their resellers have significant VoIP experience.

Overview: 

3Com was founded in 1979 by Ethernet pioneer Robert Metcalf. The firm derives most of its revenues from data networking equipment, having started out developing network interface cards and hubs.  Then in June 1997, 3Com purchased US Robotics, the leader in the dial-up modem market, for $6.6bn.

In December 1998, it made its first foray into VoIP when it started a joint venture with Siemens to focus on LAN Telephony products. Two months later it acquired NBX Corp, a developer of VoIP systems, for $90M and became one of the first major vendors to commit to VoIP. NBX had been founded two years earlier, originally with the name PowerVoice, by 3 MIT graduates. NBX had a partnership with Cisco, but the partnership ended in October 1998 when Cisco purchased another VoIP start-up, Selsius Systems. Following the acquisition of NBX, 3Com shut down the Siemens joint venture.
 
In 2000, under financial pressure and in a competitive squeeze in the data business from Cisco, it spun out the two main technology areas it gained through the US Robotics purchase, the Palm handheld business and the modem business. The carrier oriented part of the US Robotics business stayed with 3Com as the CommWorks division. It also surprised its customers and partners by announcing it would pull out of the business of selling to larger enterprise and focus solely on smaller customers. In 2002, it reversed that decision and re-entered the large corporate market.
 
In March 2003, 3Com joined forces with the major Chinese communications company Huawei.
 
3Com sells its products through more than 40,000 resellers worldwide and does not sell direct. The company states it has more than 16,000 VoIP customers world-wide. Sales of VoIP products represent around 8% of total revenue.
 
3Com has two families of VoIP products. The NBX series has evolved from the original products that came with the purchase of NBX Corp. It is now in its fourth generation, consisting of the NBX 100, NBX V3000 and NBX SuperStack 3 IP Telephony products. All three run the VxWorks real-time operating system. 3Com also produces the VCX family of VoIP product for larger companies.
 
The NBX systems use a proprietary signaling protocol called H3, although 3Com's current IP Phones also support SIP. This means that you cannot buy an off the shelf SIP phone and connect it to an NBX system, but if you do buy 3Com phones they can be reinstalled to work on a different SIP based system.
 
3Com developed a partnership with Citel to offer gateways that allow users who have Nortel's Norstar phones to connect them to an NBX system.

In May 2005, 3Com launched version 5 of its NBX software which added features such as a new automated call distribution system, silent monitoring, account code dialing and support for the latest models of IP phones.

3Com states that it has sold more than 20,000 VoIP systems.

 

Products

3Com NBX V3000 IP Telephony Solution

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This newest 3Com VoIP product was launched at the end of 2004. It is a pure IP PBX and includes 4 auto attendant or voicemail ports with 400 hours of storage and 4 analog trunk ports. 15 software IP phone licenses are included in the base package. The V3000 has a compact format designed to sit on a table or be mounted in a rack, and runs the VxWorks real-time operating system. Requires an external router for wide area VoIP connections. The base package list price is $1,995.

This product is targeted at the market for up to 40 users, but can be expanded significantly when combined with the SuperStack 3 NBX expansion chassis, which also provides connections for T1 or PRI lines.

3Com NBX 100 Communications System

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This is the original product that NBX Corp launched in 1998. The software is now on its fourth generation. Positioned for up to 200 users. Has a 7 slot chassis.  

3Com SuperStack 3 NBX Networked Telephony Solution

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Includes the NBX V5000 chassis. Launched in 2001 to offer more capacity than the older NBX 100. Aimed at the market for up to 400 users with 10 or fewer locations. Options available include Disk Mirroring and Redundant Power. Cards from an NBX 100 can be re-used in a SuperStack 3 NBX system.

3Com 3100 Entry Phone

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Launched in May 2005. Basic IP phone with 2 port Ethernet switch, message waiting LED and 4 fixed feature buttons. List price is around $100.

3Com 3101 Basic Speaker IP Phone

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Entry level IP Phone. Support NBX or SIP protocols.  2 line display. Dual port 10/100 Ethernet for connecting to LAN and a PC.  All the 3Com IP phones support Power over Ethernet.  Listen-only speakerphone. A model is also available with a half duplex speakerphone.  Gray or white. Software license is sold separately.  

3Com 3102 Business IP Business Phone

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All the features of the 3101 plus a full duplex speakerphone which means both parties can talk and listen at the same time, 18 programmable buttons and a headset jack.

3Com 3103 Manager IP Phone

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Launched in May 2005, this phone can support high-speed Gigabit Ethernet and has a large display. 10 context sensitive soft keys. List price is around $350.

3Com 3106C Cordless Phone

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Introduced in June 2005. Co-developed with Uniden, this multi-line cordless IP phone has a range of up to 1,000 feet from its base station. Uses the 900MHz cordless frequency so does not interfere with WLAN networks. 10 3106C phones can be attached to an NBX system. List price is around $400. A ruggedized version 3107C is also available, at around $500.

3Com NBX pcXset Client Software

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A Windows based softphone for use on a PC equipped with a headset and microphone.

3Com Convergence Applications Suite

 

A suite of applications that provide telephony, messaging, conferencing and contact center services. Was a Product of the Year 2004 for Internet Telephony Magazine.

Services

3Com Network Health Check Service

The data network is monitored during normal business usage, with a focus on overall performance. The report produced as a result can highlight areas for improvement.

3Com Voice Readiness Service

This test service simulates voice traffic across an existing data network and can point to areas that might need upgrading or re-configuring prior to a VoIP deployment.

 

Sample SMB End Users

Consulting MA Berkeley Enterprise Partners
Education FL The Benjamin School
Government AL Bessemer Housing Authority
Healthcare AK Bartlett Regional Hospital
Healthcare CA AIDS Healthcare Foundation
Publishing UT AlphaGraphics
Services MO Archer Engineers

 

News

10/5/2005 3Com Outlines Path to Profitability
10/5/2005 Siemens and 3Com Form Strategic Alliance to Provide Enterprise Security and Data Networking Alternative
9/22/2005 3Com Reports Q1 Fiscal 2006 Results
8/2/2005 3Com Expands Reach into Voice over IP Market with Addition of Target Distributing
6/29/2005 3Com Reports Fiscal Q4 Results, Records Sequential Revenue Gains Across All Regions
6/14/2005 Uniden and 3Com Work Together to Provide Enterprise-Class Cordless Internet Telephony Phones
5/31/2005 3Com and Philips Form Strategic Alliance
5/23/2005 3Com Enhances IP Telephony for Business with New IP Phones and Advanced Capabilities
5/3/2005 3Com Unveils New Managed Service Strategy for VoIP, Security and Infrastructure Solutions
3/17/2005 3Com Reports Fiscal Q3 Results
2/7/2005 VoIP Leaders Form Alliance for VoIP Security Research and Testing

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