| Penril DataComm Networks, Inc. | |
| Type: | Public |
| Founded: | in Gaithersburg, Maryland |
| Fate: | Partially acquired by Bay Networks; remainder spun off into Access Beyond |
Penril DataComm Networks, Inc.[1] [2] [3] was a computer telecommunications hardware company[4] that made some acquisitions[5] and was eventually split into two parts: one was acquired by Bay Networks[6] and the other was a newly formed company named Access Beyond.[7] The focus of both company's products was end-to-end data transfer. By the mid-1990s, with the popularization of the internet, this was no longer of wide interest.
Penril,[8] [9] [10] whose earnings reports[11] [12] [9] and other financials[13] [14] were followed by The New York Times in the 1990s, made several acquisitions[15] [9] but also grew internally.[11] Following its Datability acquisition[16] it renamed itself Penril Datability Networks.[17]
By the time the 1968-founded[18] [19] Penril was acquired by Bay their name was Penril DataComm Networks.[6] The company, which as of 1985 "had made 14 acquisitions in 12 years,"[20] also had done extensive work regarding quality control,[21] and leveraged their product line by what The Washington Post called clever packaging: "software, cables, instructions and telephone support" sold to those less technically skilled as "Network in a Box."[22]
Datability Software Systems Inc. was the initial name[23] of what by 1991 became 'Datability, Inc.', "a manufacturer of hardware that links computer networks."[24] The 1977-founded firm began as a software consulting company, especially in the area of databases. To speed up project development they built a program generator, which they marketed as Control 10/20[25] [26] (targeted at users of Digital Equipment Corporation's DECsystem-10 and DECSYSTEM-20). After trying their hand at time-sharing they built hardware[27] to enhance bridging these computers to DEC's VAX product line. In particular they focused on Digital's LAT protocol, selling "boxes" that reimplemented the protocol, at a lower price than DEC's. They later expanded into other areas of telecommunications hardware[28] The firm relocated to a larger manufacturing plant in 1991[24] and was acquired by Penril in 1993.[9]
Access Beyond was initially housed by Penril,[29] from which it was spun off.[1] A securities analyst notedthat Access began operations with no debt.[29] They subsequently merged with Hayes Corporation. Some of the funds brought to the merger came from a sale by Penril of two of its divisions, each bringing about $4 million.[30] [31]
Ron Howard, founder of Datability,[28] [32] became part of Penril when the latter acquired the former,[33] and was CEO of Access Beyond when it was spun off by Penril.[29] Access merged with Hayes Microcomputer Products[34] and was renamed Hayes Corp, at which time[35] Howard became executive VP of business development and corporate vice chairman of Hayes.[34]
In the matter of hiring immigrants, in an industry where recent arrivals came from a culture of six day work weeks, and subcontracting was then common,[36] these assembly line workers at Penril comprised about 25%, compared to double in other firms. Placement was overseen by government agencies.[37]
Penril had a joint development agreement, beginning in 1990, with a Standard Microsystems Corporation (SMSC) subsidiary. A dispute arose, and the matter was brought to court.[38]
Penril was awarded $3.5 million in 1996.[39]