HOUSTON and SAN JOSE, June 26, 1995 -- Compaq Computer Corporation (NYSE:CPQ) and Cisco Systems, Inc. (NASDAQ: CSCO) today announced an agreement tobring the computer industry's first integration of the leadinginternetworking technology into a value-oriented industry-standard computerplatform. Under the agreement between the two industry leaders, Compaqwill integrate the widely-used Cisco InternetworkOperating System software(Cisco IOS)(tm) into a future networking product, based on industrystandards, and bring it to market through the worldwide Compaq distributorand reseller channels.
This first marriage of router technology with an industry-standardarchitecture is intended to redefine the router marketplace by offeringsubstantial price/performance benefits and other advantages to the networksystems integrator and manager. The architecture of the new platform isintended to provide a range of scalable solutions and will includesimplified installation and configuration, and more effective networkresource management.
The first Compaq product with integrated Cisco IOS is expected in the firsthalf of 1996. Now, for the first time, customers will reap the benefits ofthe leading routing technology from Cisco on a cost-effective, scalableindustry-standard computing platform from Compaq. The Compaq/Ciscotechnology is intended to become a component of more extensive integratedsystems.
A router is an intelligent networking device combining high performancehardware with sophisticated software. It serves as the "intersection"between any combination of PCs and workstations, their "local areanetworks" (LANs) and their long-distance or "wide area networks" (WANs).
"With Cisco as our partner, Compaq delivers on its vision of simplifiednetwork computing through innovative internetworking solutions that aretightly integrated with our client/server strategy," said Gary Stimac,senior vice president and general manager, Systems Division, CompaqComputer Corp. "By incorporating Cisco IOS into our products, ourcustomers will for the first time have a Cisco network solution that issupported by Compaq and engineered with Compaq quality, reliability andease of use."
John Chambers,president and CEO, Cisco Systems, Inc., said, "There is acritical need for effective network solutions in the dynamic markets forsmall and medium businesses and Fortune 1000 remote-office access. Theleaders in PCs and internetworking have agreed to help users in thesemarkets maximize their investments in innovative technologies whilereducing total ownership costs. Cisco will continue to extend Cisco IOSthroughout the enterprise to ensure networking interoperability."
As part of the agreement, Compaq is licensing the Cisco IOS, asophisticated suite of networking software. Cisco IOS ensures robust,reliable internetworks by supporting both LAN and WAN protocols, optimizingWAN services, and controlling internetwork access. The software haspreviously been integrated into more than 30 other hub, switch, andinternetworking products sold by Cisco partners. The agreement also callsfor development of joint marketing, cooperative service and supportprograms, and use of the Cisco IOS logo. Customer support for futureproducts emerging from the agreement will be provided by Compaq.
The agreement also calls for cooperative development of network managementapplications incorporating both Compaq technology and the CiscoWorks set of applications.
Background
Compaq Computer Corporation is the world's largest supplier of personalcomputers, offering desktop PCs, portable PCs, and servers. Founded in1982, the company reported 1994 worldwide sales of $10.9 billion. Compaqproducts are sold and supported in more than 100 countries through anetwork of more than 38,000 Compaq marketing partners. Compaq also sellsdirectly to customers through Compaq Direct Plus at (800) 888-5858. Compaqprovides 24-hour customer support and can be reached through the Compaqforums on America Online, CompuServe, Internet, and Prodigy, or by calling(800) 345-1518.
Compaq, Deskpro Registered U.S. Patent and Trademark Office. DirectPlus isa service mark of Compaq Computer Corporation. Product names mentionedherein may be trademarks and/or registered trademarks of their respectivecompanies. Cisco Systems and Cisco IOS are trademarks of Cisco Systems, Inc.
