FWIW My Take ON The CC
After Ql's CC, some of you said that you had never seen Noam and Edmund so positive. My comment was that I thought they were positive, but then I thought they were positive in every CC: mentioning many things of potential, but off in the future. I wasn't expecting much, but the next day MRVC took off like a rocket and was up something like $2.
To me, this Q2 CC had far and away the most exuberance.
At the end Noam, being asked to sum up, said 'the aggregate value of MRVC far exceeds the present market value of the stock.' And he said it with certainty.
It was said that "Optical Access"(OA) could be compared to Uniphase and SDLI (?), only OA is preeminent in its field. Using Q2's revenues, it has annual revenue run of $63 million which Noam said should fetch 10X - 20X revenues. That alone would double or triple the share price of MRVC.
I too thought that Edmund was the cautious one and was trying generally to rein in Noam's exuberance. But on the subject of Hyperchannel (he didn't call it by name but said 'our internet business in Europe) he said he had "never seen a business with an opportunity so great."
Regarding CW: Noam said Terabit routers are "just scratching the surface of their potential." He said that it's product has had an enthusiastic response. Its capacity of 200 GBs has the highest port density of any machine, some 256 ports with OC3. The Avici and Nexabit machines are "not even close." It has two Beta customers.
Fiberdriver sales have grown 58%.
None of you have mentioned the Accelerouter. An analyst asked if CSCO is going to help distribute the Accelerouter and asked about it in connection with the CSCO 7200 router. Noam said that the Accelerouter improves the performance of the 7200 by a factor of 10 to 20 times. With the Accelerouter the 7200 can challenge the performance of any machine in that price range. Sidestepping the question, Noam said that while CISCO cooperated in providing specifications, it presently views the Accelerouter as a competitive threat in that customers will be working with independents and will not be so dependent on CISCO.
All in all, an outstanding CC. If there's any justice to the Street(theres' not), MRVC will double tomorrow in price. I'll settle for $2.
Bruce
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