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Non-Tech : Amati investors

AMTX 1.725

+2.1%

Nov 28 12:59 PM EST

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To: barry fowler who wrote (9183)	1/22/1997 10:24:00 PM
From: pat mudge	of 31386

[CAP vs. DMT. . . old Beta/VHS argument:] <<<What if CAP gets to market first? Even with a standard, what does this mean for AMTX? Would the ANSI cmte then be willing to substitute CAP for DMT? Didn't VHS win the vcr battle despite BETA's better technology?>>> Barry -- These are old arguments. If CAP gets to market first, it's nothing to worry about. The technology is inferior in many respects, so won't last long once DMT comes down the pipe. The standards committee has turned down the request for a co-standard several times and it's highly unlikely they'll change their minds over the next six to twelve months. Yes, VHS won over Beta, but as I recall, the quality difference wasn't perceptible to the masses. With CAP and DMT there's an enormous quality difference and when it comes to distance/power/and speeds it translates into dollars at the telco end. Economics is a big issue here. If you can use more of the installed lines with DMT you've saved money. If you can charge more for higher speeds, you bring in more money because you've got an increased revenue stream month over month indefinitely. Regards, Pat

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