Under terms of the deal, Sycamore's fiber-optic based switching devices will be used in the construction of Enron's long-haul and metropolitan network routes.
Adding Enron as a potential customer is Sycamore's latest gambit in a high-stakes race among entrenched equipment providers and upstart firms to supply communications companies with cutting-edge networking technology. The deal is particularly important for Sycamore, because the firm listed only one customer--Williams Communications--when it went public last fall.
Enron has been active in developing relationships with technology specialists recently, purchasing $350 million worth of systems equipment from Sun Microsystems and continuing tests with routing technology start-up Avici Systems.
Enron is one of several new entrants into the communications industry building new high-speed networks based on fiber-optic technology. Others include Williams Communications, Level 3 Communications and NextLink Communications, among others.