something to think about while pcclf is consolidating.
1. next to softbank, they are now the largest cap. internet co. in asia.
2. ML has a ST/LT "buy" rating and a target of HK$25, which should be taken out soon, given ML's usual conservative stance.
3. their broadband strategy is starting to come together now...they are attacking the chinese and indian mkts first, a good idea given the volume of potential customers there...they have lined up several local chinese co's to manufactor cable set-top boxes for them already...they will also work with hewlett-packard and intel in this capacity also...pc matrix, their satellite division is working with daimler-chrysler and will offer broadband access via satellites within few yrs...pc matrix holds 20 orbital slots already...their target is 20M broadband users by 2005, which most feel is doable...also, hutchison whampoa, richard li's fathers co., just signed a deal with global crossing asia which will most likely offer fiber optic access to pcclf.
3. they are now working closely with hikari tsushin(up 2500% this yr btw)...together, they have recently bought golden power...they will most likely use this co. as a venture capital vehicle...this new co. will be called hikari tsushin international now...this alliance will potentially open up the broadband mkt. of japan to pcclf...hikari is already a well est. wireless cellphone co. in japan and offer wireless content(email, chat, etc.. over internet abled cellphones).
4. pcclf recently reached an agreement with TWI, the programming affiliate of international mgt. group...IMG is a leader in sports content delivery, almost all of it is digital...as aol has recently taught us, co's like pcclf that want all the eyeballs will have to either buy or partner with co's that deliver content.
5. they have a new jt. venture with spike networks, an australian internet professional co. with strong ties to japan...they designs websites and offer consulting services...this sector has really taken off in the US(ie-vian, razf, scnt, pxcm).
6. they currently have over 60 domain names that are registered for but not in use ...the list is too long to print, but they are heading into exciting territories...needless to say, they plan on staying busy this yr.
7. they have taken a stake in silk route holdings, a singapore based B2B incubator like icge...they have also taken a 30M stake in netcel, a B2B co. founded by the former head of dell asia...by 2003, B2B a 1.3 trillion dollar industry while B2C 100B and pcclf will exploit this!
in conclusion, pcclf, while valued quite high right now, may certainly live up to its potential as they have clearly est. a foothold in every imp. sector of the internet in asia...we must remember, the internet revolution has not really occured in asia yet, but it most likely will later this yr...the real oppurtunities will be in asia imo...they have est. and legitimized themselves by partnering with estblished co's like cmgi(swapped stock), intel(8% owner of pcclf), hikari tsushin and of course his fathers co. hutchison(major telecom player in asia)...since softbank's son is pals with the young ceo of hikari(cant remember his name), perhaps a softbank alliance is right around the corner...needless to say, im hoping for US$5-10 a share by year end.
mact |
