Gotham gravy train?

Jonathan Reeves has reemerged with another start-up he hopes will make him even richer than he already is after selling two other companies he founded. Mangrove Networks is building next-gen SONET/SDH equipment that supports the Generic Framing Procedure for carrying multiple services, such as Ethernet and SAN, over SONET rings. Mangrove acquired, and employs, much of its intellectual property from Gotham Networks, a multiservice switch start-up that went belly-up last year. Those ex-Gotham employees may now have the last laugh as Reeves sold his previous two ventures, Sahara and Sirocco, for a combined $4 billion. (Read the story)

Nortel returned to profitability for the first time in three years. The company surprised the industry by posting a profit of $54 million, or 1 cent per share, and revenue of $2.4 billion for its first quarter 2003. The results exceeded analyst expectations of a loss of  3 cents per share on revenue of $2.3 billion. The profit is not due to top-line growth, however. Revenues are down $500 million from the first quarter of last year, and revenue by product group - Wireless, Enterprise, Wireline and Optical - is also down from the first quarter of  2002. The only group to show sequential improvement was Wireline. (Read the story)

Riverstone is looking for a new CEO after Piyush Patel relinquished his chairmanship to Romulus Pereira. Pereira is now acting CEO while Riverstone conducts an executive search. Pereira wanted to spend more time strategizing and less time running daily operations, Riverstone people say. Patel will still serve on the company board. The moves come after Riverstone shifted its focus to enterprise and federal government markets following consecutive quarterly losses selling its metro routers to service providers. But analysts believe the management shift is largely a nonevent, though they do think Riverstone should find a new CEO familiar with selling to large incumbent carriers in North America. (Read the story)

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Jonathan Reeves has reemerged with another start-up he hopes will make him even richer than he already is after selling two other companies he founded. Mangrove Networks is building next-gen SONET/SDH equipment that supports the Generic Framing Procedure for carrying multiple services, such as Ethernet and SAN, over SONET rings. Mangrove acquired, and employs, much of its intellectual property from Gotham Networks, a multiservice switch start-up that went belly-up last year. Those ex-Gotham employees may now have the last laugh as Reeves sold his previous two ventures, Sahara and Sirocco, for a combined $4 billion. (Read the story)

Nortel returned to profitability for the first time in three years. The company surprised the industry by posting a profit of $54 million, or 1 cent per share, and revenue of $2.4 billion for its first quarter 2003. The results exceeded analyst expectations of a loss of  3 cents per share on revenue of $2.3 billion. The profit is not due to top-line growth, however. Revenues are down $500 million from the first quarter of last year, and revenue by product group - Wireless, Enterprise, Wireline and Optical - is also down from the first quarter of  2002. The only group to show sequential improvement was Wireline. (Read the story)

Riverstone is looking for a new CEO after Piyush Patel relinquished his chairmanship to Romulus Pereira. Pereira is now acting CEO while Riverstone conducts an executive search. Pereira wanted to spend more time strategizing and less time running daily operations, Riverstone people say. Patel will still serve on the company board. The moves come after Riverstone shifted its focus to enterprise and federal government markets following consecutive quarterly losses selling its metro routers to service providers. But analysts believe the management shift is largely a nonevent, though they do think Riverstone should find a new CEO familiar with selling to large incumbent carriers in North America. (Read the story)

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