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Technology Stocks : PictureTel (PCTL)

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Aug 4 2:00 PM EST

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To: dumb who wrote (413)	4/4/1997 8:12:00 AM
From: Christine Traut	of 920

I'd like to support this observation < Anybody who has used any of the internet video phones knows that these products are just toys. I doubt the video quality will ever be good enough for business use (unless there are dramatical changes in the internet protocols and structures maybe 5 years from now)> Looks like dumb is not so...:) I recently had a conversation with a very smart engineer/product manager at a company making H.324 (POTS based) videophones. He told me that these units are selling to the home market, but are not considered good enough quality for businesses who are trying to replace ISDN units. Internet video phones are not going to match H.324 because of quality of service issues. So I don't see PCTL being challenged in the business market. That said, I am rooting for H.324 and videophones to be a huge success in the home market - it will help fuel the behavior change that is necessary to have people adopt video in business.

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