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Newbridge creates new divisions

The computer networking firm announces organizational changes that will create three new divisions.

Computer networking firm Newbridge Networks announced organizational changes that will create three new divisions as it tries to focus on the key market segments it serves.

The new divisions are switching, access, and Internet Protocol (IP) and internetworking solutions. The changes are effective immediately.

The divisions' key responsibilities include: research and development, product marketing and product management, as well as interfacing with Newbridge's affiliate companies, partners, and third party vendors.

"Our decision to move from a single, large R&D structure to three smaller, more nimble product groups with well-defined and highly focused business charters will enhance our focus on market segments that we can defend vigorously," said Newbridge's president and chief operating officer Alan Lutz. "These product groups contain the resources required to fully address and capitalize on the opportunities in their respective market segments."

Lutz has appointed three executives to oversee the product groups. Conrad Lewis will be the executive vice president of the access group and chief technology officer. Scott Marshall will be executive vice president of the switching division. Jim Arseneault is appointed vice president of the IP and internetworking group.

According to some analysts, the reorganization may not be of much value. "They really need to drive some improvement in the technology," said Stephen Koffler, an analyst at Donaldson Lufkin & Jenrette. "They fell behind Ascend [Communications] and didn't win many deals this year.

"I didn't hear anything to convince me that [the restructuring] was going to help," said Koffler.