COMPAQ BUYS NETWORKING COMPANY
By Adnews Staff
Houston-based Compaq Computer Corp. is taking another step to strengthen its position in the market for servers - computers that co-ordinate networks of personal computers. Compaq announced this week it has signed an agreement to buy U.S.-based Networth for $372 million(US). Networth develops computer networking products called switches and hubs. This is Compaq's third step in recent months into the networking market. In October it announced it was buying Thomas Conrad Corp., a maker of network adaptor cards. In June it formed a working alliance with Cisco Systems, a maker of network equipment. "These acquisitions accelerate the evolution of Compaq from a PC company to a full-service computer company," Compaq president and CEO Eckhard Pfeiffer says in a release. Compaq's major rivals in the server market are Hewlett-Packard and International Business Machines.