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Technology Stocks : Applied Innovation (AINN) - Network Mediation Systems

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To: Michael Greenberg who wrote (369)6/7/1999 10:51:00 AM
From: Richard Singer  Read Replies (1) of 468
 
Michael-

The saga of the Access Products Group, which was the promise that attracted me to AINN in the first place, is something that I would like to understand better.

In Feb,98 G.M. ballyhooed the two separate field trials of the AI4800 at two RBOC s, telling us that trial results would be forthcoming first half of '98.

In a June 3,'98 release they announced Bellcore test completion of the 4800, stressing the importance of this testing.

July 23,'98 G.M. tells us that ACCESS sold its first 4800 in Q2 to a customer utilizing it in an expanded field trial. He also informs us of the search effort for a strategic partner to market ACCESS products.

September 14 they announce termination of the Access Group with the explanation that they were unable to find a strategic partner. This search by Dain Rausher Wessels lasted all of two months.

What have we to show for the millions expended on this ill-fated effort. Do we have any salvageable intellectual property, anything?

What happened? The company has never said that the RBOC field trials were a failure, or that the Bellcore testing uncovered flaws in the design that were just too expensive to iron out.

I think that this kind of information should be disclosed to shareholders. I can better accept that my company made a good effort to expand its horizons and failed if I am told of the reasons for that failure. Instead I am left to stew in my juices.

Comments?

Richard
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