<<< It is up to them to continue to execute. I agree that they have to sell end user or OEM equipment in order to achieve much revenue, licensing fees just ain't gonna cut it. Do you, or anyone else (Pat? Jim?) know about Amati's strategy for becoming a high volume manufacturer?>>>
Rob --
I could be wrong---and I haven't the foggiest idea how manufacturing works---but I believe Amati will partner with both a telecomm and datacomm company (JS said as much at the shareholders meeting)in a way that will insure joint production agreements. When I asked JS about manufacturing capability, he said the valley has everything they need. Amati has some now and they're expanding onsite this spring and according to one source looking at more off-site.
<<<I'm not sure that one needs to select between xDSL stocks and cable
modem stocks, IMHO both will be successful in the marketplace because neither industry (telco/cable) will cede the market to the other. There are practical obstructions (not barriers) to the deployment of both technologies, but these will be solved because of the $$ to be made. . . . >>>
I agree 100%. Cable cos are not going to disappear any more than CAP is. There is a huge market waiting to be tapped and it won't happen overnight nor will it dry up. We're not talking hula-hoops here.
I remember last summer when there were whispers about the web browsers being too slow and the bandwidth being stalled, I said to someone, "Hey, if Bill Gates is working on the problem (and he was), it's only a matter of time before it's solved." Now we hear of improvements almost every day. It's the same with bandwidth deployment whether cable or xDSL. I saw Andy Grove at Comdex and when he linked up the Seattle Starbucks office via T1 line and it came over like those early pictures from space (jerky and slow), it wasn't hard to see where we were going and what the largest growth area would be.
I also agree there are no small cable companies that will give us the same returns that Amati will. I've invested in CDTC, however, which has copper wires and fiber optic cables. I figure that's a pretty good play on the whole industry. I'm sure there must be others.
Enough rambling.
Cheers!
Pat |
