From NOV/26 Insider Report:
The Big Boys Coming Aboard
Once a company has a great product in hand and the development risk is gone, the next hurdle is getting distribution in size. Strategic relationships with big players are key to get the product to market and we are seeing these deals happening now.
A strategic relationship agreement between Research in Motion [RIMM][T.RIM] and Dell Computer [DELL] (read the news HERE) This alliance to sell the RIM?s Blackberry two-way pager under the Dell name is strong evidence that the world is finally working wireless for real. Based out of Waterloo, Ontario, Research in Motion offers a paging solution for using Microsoft Exchange. We see this agreement with Dell, the world?s leading PC maker, as a break through for wireless computing products beyond the cell phone because of the expected growth of 200 million people using pagers worldwide in the year 2000. Trading on the TSE and Nasdaq, RIM has skyrocketed from C$5 to a high of C$92 over the past 12 months.
Wi-Lan [T.WIN] is a recent addition to the TSE from the Alberta Stock Exchange that his been trading big volume on rumors of take-over interest and strategic alliances with major players. Wi-Lan Inc., based in Calgary, Alberta, Canada, is a leading innovator in the field of high-speed wireless data communications, specializing in high-speed Internet access, LAN/WAN extension and wireless local loop. The action in the past couple of weeks has culminated with a Globe & Mail article that embodies the speculation about what may be in store for Wi-Lan, and the potential for their technology to become the standard if a deal is done with networking giant Cisco Systems [CSCO]. Read the article HERE.
Infowave Software [T.IW] has been one of the Insider Report?s mainstays for almost a year, and our readers have seen a price rise of over 500%. At no time in the past 12 months has there been as much interest or capital available in the market for wireless stories. During the last quarter, Infowave?s wireless division has launched Symmetry and Infowave for the Net. With these products, Infowave provides secure wireless access to the applications and content that is driving demand for wireless data. Although the company has made agreements with several important carries like Glenayre and ASPs (Application Service Providers) like Mi8, the real upside for the company lies in forming further alliances with major wireless carriers to provide the software solution to their subscribers. A major deal of this type, along with the much sought after subscriber revenue model, should bring even more attention to Infowave shares. As the Insider has reported recently, such an announcement could provide an impetus for panic buying as we?ve seen in other wireless plays mentioned above. |
