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Technology Stocks : CAWS - Wireless Cable (New and Improved)
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To: paul caputo who wrote (632)12/3/1996 1:37:00 AM
From: Joe Wagner   of 5812
 
The following info from TV Technology magazine dated 11/29/96
may help give you some clues as to what the future may hold for
CAI.

Article by Susan Ashworth: " Telco to Launch New VOD System"
1)Mentions that Bell Atlantic has plans to go with fiber optics but does
have plans for wireless cable TV service for the Hampton Roads, VA
area next spring
2)Says Bell Atlantic wants VOD services up and running by 1998, delivered
over fiber optics.
3)Ameritech is waiting for technological improvements to set-top boxes to be supplied
by Zenith in early 97.

Another Article: "Divicom, Zenith Sign Digital Set-Top Agreement"

1)Divicom to create a digital set-top box for Zenith.
2)Box to be capable of interfacing to four different networks.
MMDS, DBS, SDV, HFC

Another Article: "Nynex Selects GI For Network Upgrade"

1)Nynex selected Next Level Communications, a subsidiary of GI to
provide fiber-to-the curb technology for a network modernization
and upgrade, called NLevel3 Switched Digital Services system to be
deployed in Boston and New York areas.
2)One million lines of fiber-optic transport electronics to replace
copper, could be increased to five million.

Another Article: "Bell South to Buy Wireless Cable TV Company"

1) Preiminary agreement to buy Wireless Cable of Atlanta for $43.5
million.

My thoughts on the above articles and CAI, are that Bell Atlantic
may use CAI on a very limited basis, but the technology is viable
since Bell South is moving ahead strongly in MMDS and the Zenith
set-top box will be mass produced with MMDS capability.
It shows that MMDS is one of the four viable technologies in delivery
of video services and it will have an equal footing as far the cost of
the set-top box. I think if Bell Atlantic does not use CAI that the
Banx competition will work with CAI, like the DBS companies that have been signing agreements with MMDS suppliers
to distribute their programming over MMDS.

The wireless spectrum that CAI owns has value and if Banx passes up this
opportunity to work with CAI that CAI will find a way to follow thru
with providing a very viable service.
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