The hubs are like junction boxes
which enable multiple personal
computers to hook up to and op-
erate on the same network. Key
products, which were among the
main drivers of growth in 1994,
include the Ethernet switching
module for its MultiNet intelli-
gent hubs, LANSwitch, and
LANStack, its stackable hub
According to one company in-
sider, "The company had grown
at a phenomenal rate until 1992
but it hit a growth threshold. It
didn't have the 'bandwidth,' so to
speak, to continue to build sales
at the same rate because mar-
keting and distribution weren't
up to it. In 1994, the benefits did
indeed materialize. Sales jumped
over 40 percent to $70 million and
profits rose to $5.6 million. (Were
it not for a one-time charge re-
lating to settlement of a lawsuit,
profits would have been $7.4 mil-
for switching hubs
The market for switching hubs
grew rapidly. Indeed, research
firm Dataquest estimates that the
market will grow from $265 mil-
lion in 1994 to $837 million in
1995 and over $1.5 billion in 1996.
Analysts following Lannet be-
lieve that the company's technol-
ogy compares favorably with
many of its competitors and the
company is well-placed to capi-
talize on growing demand. Indeed
the company appears to have
picked up market share from
some of its competitors in 1994.
According to the company, it
climbed to No. 7 in worldwide
market share for intelligent hubs
and No. 3 in switching hubs. ❑
Neil Cohen writes for the
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