Hi Tom,
I was able to get to interviews by Vaughan on ROB TV and Bill Ridley's on viavid.com. Very good stuff. The amount of publicity IW gets lately makes me certain that number one priority is to be listed on Nasdaq. This milestone move, which eventually will be followed by pp through US Bankers, is caused, as one of the posters from SH worded "the feeling of urgency coming to play to in order to capitalize on market conditions". The possible equity investment by one of the large players cannot be eliminated as another route to secure future R&D funds. There are some very reassuring remarks in those interviews, for example Mr. Carter's feeling of being comfortable with intellectual property of IW in comparison to AETH, it almost can be read as feeling of superiority. Another one which talks of RIM described as one device set up, where IW can make any device perform crucial corporate tasks, basically making possibilities limited only by operating system (Windows powered used to be WindowsCE)and allowing the mobile worker to make a choice.
Surprise.
Personally, I was very surprised by Bell Atlantic Mobile news. Everyone was talking about Symmetry at the time, looking into paging network carriers. Phone.com came up actually first in rumors before anything. It was very interesting to me that Vodafone is in alliance with Glenayre in regards to wireless messaging since April of 1999. As all of you know Vodafone will create with Bell Atlantic one of the largest wireless companies, just about $70B strong ,Bell Atlantic is also merging with GTE, finalizing this deal in 1Q of 2000. It is incredible how principals of Infowave managed to get in the same room with those companies as well as with Microsoft, Qualcomm, BellSouth. Wasn't it written by someone that MSFT introduced IW to Glenayre? It almost appears that Glenayre did the similar introduction of IW to Bell Atlantic, through probably Vodafone connection. Vodafone owns in part AirTouch Paging coincidentally one of what it used to be 9 reflex network carriers, which now became six from yesterday's GEMS'news release, fyi Skytel was merged into MCI. If AirTouch Paging is first on the list of providers of Symmetry I would imagine that Vodafone has deep interest in Infowave's sales channels maybe looking into possible investment into company at the end. This is a fragment from VOD/BEL deal
"
The new wireless business combines assets from Bell Atlantic Mobile, AirTouch Cellular, PrimeCo Personal Communications
and AirTouch Paging. It will be further strengthened by the addition of the cellular and PCS assets of GTE Corp.
(NYSE:GTE), which is expected to complete its merger with Bell Atlantic in approximately the first quarter of 2000. Bell
Atlantic-GTE will own 55% and Vodafone AirTouch will own 45%. The companies expect to complete the wireless
transaction in six to 12 months."
Entering the agreement with BAM, IW almost instantly secured introductory meetings with companies like GTE, AirTouch Cellular, AirTouch Paging. Vodafone also owns 50% in Cellular One, another huge carrier.
Another Bell.
BellSouth has been promoting IW for long time, in fact they have listed IW under UK connection as well, besides taking IW along with RIM on every possible show. Probably you guys heard about E-Plus takeover, the 3th largest German cellular company, BLS is buying Vodafone's stake in this German giant. BLS is Mobitex, network covering approximately 93% of North America, this venture in Germany is a step towards GSM, window opens even wider for IW. Vodafone would never sold that stake but AirTouch takover agreements caused this to be exercised. Vodafone decided to compensate itself by taking on Mannesmann AG in hostile takeover bid. European market is dominated by GSM, network which will be supported by IW in 3Q right along with support for CDMA. BellSouth for sure and eventually Vodafone could introduce IW offerings to Europe.
The Vision
Looking what has IW strategically accomplished in 1999, it is almost too good to be true to look at year 2000. Just judging by connections from above "phrase of cornering the market" may not be put in category of fantasy.
Todd Carter said also two other interesting things. He mentioned market of $6B in year 2005, quite large pie. As far as I am concerned IW is trying to eat this pie from every corner of the table. Another one, he mentioned, is AETH market cap. With today's prices AETH market cap is 1.5B. For infowave to be there just for comparison, the price would have to reach CDN$95.00 per share. The baby bells channels are one of the ways to get through with the product. The QUALCOMM and Microsoft's JV, Wireless Knowleledge wasn't even mention here yet. IW allied itself with another red hot company Phone.com. If anyone has doubts about IW's future think about last pp. Some 7.5M was rised, to continue to build IW of today. Imagine IW on Nasdaq, selling 2million shares at $50.00 US, how far this management could take us than, how many developers could join IW team perfecting or making breakthroughs in wireless technology?
Mr.Carter put out a time frame of 6 months for Nasdaq listing, I believe that I will be surprise here once again.
Good night.
dydo |
