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New Globespan Chip Lets DSL Modem Makers Customize.(INTERNET & TECHNOLOGY)(Q & A)
Byline: JAMES DETAR
There are two kinds of high-speed modem chips. Cable TV companies use chips in cable modems that go into set-top boxes handed out to cable TV customers.
The other is a digital subscriber line chip. It goes into modems that are inside a PC, or connect to it from the outside by a cable. DSL signals travel over ordinary phone lines.
GlobespanVirata Inc. is the biggest maker of DSL chips. As tech slumped, the company's sales fell to $229 million in 2002 from $348 million in 2000.
The company is doing better. Analysts forecast revenue growth of at least 50% a quarter and earnings growth of at least 150% a quarter for the rest of this year.
Last month, Red Bank, N.J.-based Globespan rolled out its latest chip, Centragate. It lets people connect a DSL modem to a PC simply by plugging it into the standard USB port found in back of most computers. It does that at a lower cost than rivals.
In a recent interview, Globespan CEO Armando Geday discussed plans to stay on top in DSL chip sales.
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