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Technology Stocks : Echostar Comm.

SATS 112.18

+3.2%

Jan 2 9:30 AM EST

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To: Mike A who wrote (288)	5/20/1997 10:45:00 AM
From: Noel	of 1394

Mike: I think the best reason why is that they have a good team in place on the engineering side, and they have a system in place that works. Why reinvent the wheel? Even if you can pick up the slots, it makes more sense to buy in now and gain a good operator than it does to try and put the whole thing back together yourself. Besides, I think that anybody coming into the market hoping to compete with DTV doesn't want to see an alternative 18" dish system with over 500,000 subs fail. The consumer backlash from that will hurt all satellite providers, including DTV, but in the long run it would be years before another viable competitor would be able to overcome all that bad press. And right now the sub growth is coming from cabled homes. Think about the fun that the cable companies would have with DISH going dark. I can see the ad slicks with the broken satellite trailing smoke falling out of the sky now... NPD

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