Moving closer to its aspiration of becoming more than just a personal computer and server vendor, Compaq Computer Co has just marked its entry into the market of computer network routers for data transmission to mid-range systems, with the launch of its Netelligent 8500 router system. The Netelligent 8500 is a product of Compaq’s formal diversification into the networking equipment business last year, through its acquisitions of Thomas-Conrad Corp and Networth Inc (CI Nos 2,774, 2,787). The 8500 uses an iAPX-86-compatible processor, has 8Mb memory expandable to 40Mb, a two-board slot for using primary or back-up images and a 1Gbps PCI backplane. It supports IP, IPX and Transparent Bridging protocols for local networks, Frame Relay, X.25, Point-to-Point Protocols for wide area networks and RIP, Routing Information Protocol, NLSP, NetWare Link Services Protocol, and IGRP, Internal Gateway Resolution Protocol for routing. Of some significance is the fact that the router runs Cisco Systems Inc’s IOS Internetworking Operating System. This means that Compaq and Cisco are in competition as well as partnership with each other. On this development, Doug Pushard, vice-president of the new Networking Products Division, acknowledged that there will be some overlap… we [Compaq and Cisco] both know that: there will be some competition, but the market growth will be far greater. Compaq believes it is sailing in safe waters with the 8500, not only because it is entering a new product segment – mid-range systems – but also because it will be using its established indirect distribution channels, as opposed to direct, as used by Cisco. As a measure of the co-operation between the two firms, they have scheduled a number of joint sales and marketing drives, trade shows and road shows to promote the partnership, Pushard added. Neither company would be drawn on how much Cisco gets for each router sold. Accompanying the router is the Netelligent Management Software, a drag and drop tool that guides users through the router’s configuration process. The software comes free on CD-ROM and can be integrated with Compaq Insight Manager 3.0 network management tool (CI No 2,939). Compaq also announced the Dual 10/100 TX PCI unshielded twisted pair controller for Pentium-based server applications. The controller uses Texas Instruments Inc’s 10/100 ThunderLAN chip set and has bus mastering, and PCI Plug’n’Play. It supports full-duplex transmission rates of up to 200Mbps per p ort. It is shipping this month at $426, and is be sold by Compaq and third parties.