Nortel ups optical investment, sues Optical Networks

Boosting its already substantial presence in optical networking, Nortel Networks (Brampton, Ontario, Canada) is investing an additional $400 million that will create 5000 new jobs and triple production capacity in 2000. The investment includes establishing a new facility in Ottawa to manufacture lasers and other optical components for dense-wavelength-division-multiplexing and expanding existing campuses in Paignton, England, and Monkstown, Northern Ireland.

In other news, Nortel alleged that startup rival Optical Networks Inc. (San Jose, CA) has hired away 19 Nortel engineers in an effort to illegally copy Nortel networking technology. A series of legal challenges is underway.

—W. Conard Holton