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Technology Stocks : NEXTEL
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To: Bubba who wrote (3150)11/13/1997 9:12:00 AM
From: Arnie Doolittle   of 10227
 
"Guardedly optimistic" my foot. Akerson was so excited at the annual meeting that I wanted to nail his shoes to the floor. Well, ok, that's a slight exaggeration but not much. Without doubt Akerson knows he's got a winning combination and the only thing holding NXTL back is time - time to compete the national network before broading the base. That's why they will wait 12-18 months. I wonder how NXTL plans to cover the remaining 15% of the U.S. population. Perhaps they'll do what AT&T is doing - sign contracts with regional players to provide T's coverage in backwater areas. Notice the import of what I just said: T will NOT own all of its national network. Whoa, imagine that! I talked to an exec with one of those regional guys the other day and he suggested that T will eventually buy these bit players but for now T doesn't want to spend the $$$ to build out those areas. They'd rather sign contracts and keep the financing on someone else's financials. One example as a case in point: Savannah, GA and environs.

Arnie
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