View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
July 28, 1988


By CBR Staff Writer

Northern Telecom Ltd has, as reported briefly (CI No 975) lost the UKP37m second phase of the Deutsche Bundespost’s X25 packet switched network contract to Siemens AG. The Canadian supplier installed the initial backbone net of the Datex-P project which was started in 1981, because it was the only company at the time with the technical know-how to pass the Bundespost’s stringent requirements. The decision will come as a blow to Northern Telecom, which has worked hard to protect its foothold in the West German market. It teamed up with domestic electronics giant AEG in 1984 and submitted a joint tender for Phase 2. Northern had proposed to update the original DPN 25 technology with its DPN 100 packet switch. The Datex-P contract has been subject to strong political pressures, with Canada’s Minister of Posts and Telecommunications threatening retaliatory action if Northern came away empty-handed. Siemens will install a brand new version of the EWSP packet switching system which is ISDN compatible, rather than add to the existing system and invested $30m in plant modernisation prior to the decision, to ensure immediate delivery. There is fierce competition between the two suppliers in the world packet switching market with Northern claiming a 24% stake and Siemens not far behind with a claimed 15% share. Datex is currently providing X25 data transmission to 30,000 users on a network built for half that number and the new extension should boost capacity to 100,000.

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.