Booms, Busts, and Recoveries Message Board

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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: EL KABONG!!! who wrote (39769)	10/20/2003 9:57:13 PM
From: elmatador	of 74559

<<thoughts on BT Group ... Investment worthy ... Up to snuff as a telephony company>> Hi KJC! It took me a while to find time to reply. Telcos -any telco- are legacy. They seat on top of a big infrastructure, faster approaching technological obsolesce. Their strength lies on the fact that they operate what is called a "public" service. They have a lot of political clout. They have a strong lobbying power. Operating a public service they can always tell that they have an old lady somewhere in Nebraska that will not receive her Xmas call from her daughter if there is any mention of liberalization. That has power, KJC! Concerning lobbying, you could set up a telephone company with what telcos spend in golf tournaments! Where they will discuss how the digital have nots will be left displaced if they would have to share their infrastructure, or they are not making money in telephony and need to go in TV business, and not to mention that if they could go on long distance they could avoid leaving that old lady without her Xmas call. Then, when they smoke cigars and sip brandy they suggest to regulate any competitor (IP telephony and CATV) the same way they -telcos as a "public" service- are regulated.

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