So, what's next for 3Com?
3Com executives say they expect revenue to be in the $550 million to $600 million range in the fourth-quarter of this year. They expect the company to become profitable by next year in the fourth quarter of fiscal year 2002.
While 3Com's older equipment, such as PC adapter cards, still make up a big chunk of the company's overall revenue, some analysts say they expect the new markets 3Com plays in to eventually take off--and help with the company's turnaround efforts.
"We believe the worst is behind 3Com as the company continues its restructuring and focuses on its new growth markets," said Paul Sagawa, of Sanford C. Bernstein.
In 3Com's carrier business, for example, sales of wireless and Net telephony products grew 9 percent to $42 million, according to a recent research report by Morgan Stanley analyst Chris Stix. Those emerging products now represent 75 percent of 3Com's overall carrier revenue, he said.
"We still believe that over the next several years, 3Com's (Internet telephony) and wireless businesses will emerge and drive company growth," Stix said.
