Let the Breakup of Nortel Begin


masterawhiteRadware (s RDWR), a maker of application delivery equipment, wants to buy a business unit of bankrupt gear maker Nortel Networks (s NT). The unit in question is known as Alteon; it makes application switching and WAN optimization products for the data center. Nortel bought Alteon for $7 billion back in 2000. Light Reading reports the Radware bid may be closer to $50 million.

Wireless area network optimization and application delivery, which provide visibility into networks, are becoming more relevant in data centers as software as a service and cloud computing becomes more accepted. Venture firms are investing in the space, and it looks like Radware would like to as well. Because Nortel filed for bankruptcy protection earlier this year, any deal would have to go through the bankruptcy court approval process.


Matt Wilson

I personally had terrible experience with Radware enterprise level products. The company is based in Israel and most of their support engineers are having very hard time with speaking proper english. To me this approach sounds more like an online coverage attack and trying to get attention from techies.


Radware’s own market cap is only 110 mil right now. At 55 mil this would be a big bite for their shareholders. And, I guess Nortel is looking for cash… But, I agree with Stiennon – if they grab it and handle it right this could be a big leg-up for Radware. I’ll watch radware valuation curve… up!


Way cool. Radware is exhibiting some smarts here. Alteon also represents Nortel’s security products, a good match with Radware.



who cares how it was paid – stockholders still got the screwed from bad management!

Alan Wilensky

The entire sector of XML appliances, application routers, and such, has proven to be such a bust. More of these functions are being moved (or just are) to the general purpose server stack, or to VM slices, etc.

The number of DOA application switch vendors (which were nothing but Linux boxes with a special stack and lostsa ports) is now legend.

Comments are closed.