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3Com Still Struggling Despite Improved Sales: Page 2 of 3

"We continued to see encouraging signs in the business during this past quarter," he says. "North America had been a troubled geography for us. However, beginning in the fiscal third quarter and accelerating in the fourth quarter, we have seen substantial growth."

Claflin credits his new sales team and improvements to the company's channel program for the increased revenue.

"The [channel enhancements] were initially disruptive and caused us to have a temporary slowdown in our channel-related sales. However, these were the right actions to take and now, six months later, we are seeing the benefits," he says, adding that more channel enhancements will roll out over the next six months, primarily affecting the EMEA market.

He also expressed satisfaction with the integration of Tipping Point.

"We are pleased with the progress we have made in the first full quarter since the acquisition. We see effective traction in the integration of customer-facing activities, back-office integration and the expansion of TippingPoint's mission," Claflin says. "The new Huawei-3Com developed switches not only fill out our enterprise-class, edge-to-core switching line, but coupled with [Tipping Point's] Quarantine Protection, deliver the first in a series of solutions that will leverage best-in-class security from TippingPoint across our network infrastructure products."