Promatory, based in Fremont, California, offers digital subscriber line (DSL) platforms that allow high-speed Internet access of up to eight megabits a second -- or 150 Times the speed of old-style analogue modems -- over ordinary copper telephone wires.

Nortel to buy Promatory for up to $778 million Nortel said the acquisition will add slightly to earnings per share in 2000, prior to acquisition-related charges.

The number of shares Nortel will issue, which will be between 6.3 million and 9.4 million, will be based on the average price of its stock during a specified period prior to closing.