Bay Networks loses key exec

Bay Networks (BAY) has lost a key executive for its Asian-Pacific business to rival Ascend Communications (ASND).

Jeffrey W, Gustafson, formerly Bay Network's Asian-Pacific marketing manager for Internet telecommunications, will fill a similar position with Ascend Communications, a huge player in the Internet service provider (ISP) space due to its strengths in remote access.

The departure is the latest in a string for Bay Networks, a company that has seen its once promising position in the networking industry come under increased pressure from larger rivals 3Com (COMS) and Cisco Systems (CSCO).

The defection is a blow to Bay Networks Asian-Pacific focus on ISPs--a a potentially strong market for the company, according to Craig Johnson, principal analyst with Current Analysis, an Ashburn, Virginia-based market research firm.

Gustafson's move follows the departures of Rouzbeh Yassini, general manager of Bay's cable modem division, and William Ruehle, former chief financial officer. Both executives departed soon after the late October hiring of David House, the former Intel (INTC) executive, as chairman, president, and CEO.