XYLAN'S UPSWING PERSISTS; ANALYSTS CREDIT DEAL WITH IBM FOR BOOM.Byline: John Shinal Bloomberg Bloomberg A major global provider of 24-hour financial news and information including real-time and historic price data, financials data, trading news and analyst coverage, as well as general news and sports. News Xylan xylan /xy·lan/ (zi´lan) any of a group of pentosans composed of xylose residues; major structural constituents of wood, straw, and bran. Corp. rose for the fifth straight day after the computer networking
Computer networking is the engineering discipline concerned with communication between computer systems or devices. company said International Business Machines Corp. will sell Xylan's new switching product to IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) customers. Xylan rose 1/16 to 26 5/16 in trading of 745,700. Earlier, the shares touched 26-5/8, a 25 percent rise since June 2, when concern over Xylan's distribution relationship with IBM sparked a three-day decline. The Calabasas-based company's OmniStack switch, used to link computers in corporate networks, is more sophisticated and expensive than rival products made by larger competitors such as Cisco Systems “Cisco” redirects here. For other uses, see Cisco (disambiguation). Cisco System,Inc. (NASDAQ: CSCO, HKSE: 4333 ) is an American multinational corporation with 54,000 employees and annual revenue of US $28.48 billion as of 2006. Inc. IBM sales accounted for a fifth of Xylan's revenue for the quarter ended in March, and investors were waiting to see if the computer giant would offer the new product when it sells networking systems to large businesses. ``Their relationship with IBM is getting stronger,'' said Marc Woodward, an analyst with Van Kasper & Co. who rates Xylan ``strong buy.'' Xylan reported revenue for the March quarter of $75.4 million, up 57 percent from $48.0 million in the year-earlier period. |
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