3Com, Broadcom Plan Cooperation

3Com Corp. and Broadcom Corp. formed an alliance to develop and market ultra-fast corporate computer networks. 3Com, a maker of equipment to link computers, also gave Irvine-based Broadcom the right to purchase about 2% of its stock. Broadcom said it will pay $35 million for a warrant to acquire 7.1 million 3Com shares over the next two years. Under the alliance, the companies will develop products based on the Gigabit Ethernet data standard for corporate networks. Shares of Broadcom rose $14.63 to close at $142.81, and 3Com closed up 34 cents at $9.97, both on Nasdaq.