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Microcap & Penny Stocks : International Automated Systems
IAUS 0.04000.0%Jul 8 5:00 PM EST

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To: acell bown who wrote (4)5/6/1996 2:28:00 AM
From: Edward Harris   of 7618
 
You may be right and if you feel comfortable investing in a company which is touting its technology as being revolutionary and has never been seen you should buy as many shares as you can get now while their cheap and let me know how the news conference goes.

My biggest point is that a lot of their technology claims don't sound like they're so revolutionary when you compare it to what's currently being tested by the telcos. Also most of these new revolutionary technologies are developed in labs with many scientist's and PHD student's doing research to make them a reality. The transmission technologies are then patented, and put before standard setting committees, field tested by the telco's, chipsets are made by semiconductor manufacturer's to make them mass deployable and reasonable priced for the consumer.

IF IAUS claims are legitimate someone who retired from the telecommunication industry 20 years ago and has been inventing self service check-out lanes for supermarkets for ten years and fingerprint machines for who knows how long developed this technology on a $35K budget in 1994.

Assuming I believe that, he's accomplished step one. Now comes patents and standard setting committees and field tests. It will be years before a DWM product hits the market and by that time VADSL will be around at 52 Mbps.

On the microwave side of things there is LDMS which broadcasts at 28GHz and MMDS which broadcasts at 2 GHz. MMDS is being deployed now by Bell Atlantic, NYNEX, and PacTel and LDMS is under trial.

I could be very wrong but the market cap for this company is $300-400 million. I don't believe the story and even if it was true I don't see how they can possibly get a product to market in a reasonable time frame.

If in ten years he has one grocery store using his self service check out line how long will it take hime to get Telco's to deploy DWM.

Eddie
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