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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: DownSouth who wrote (18739)2/25/2000 6:44:00 PM
From: 100cfm  Read Replies (2) of 54805
 
From the tutorialSmart office buildings can turn lights on and off, open and lock doors, start and stop elevators, and connect all functions to a central security system. Homeowners can program a vast array of products and conveniences, from sprinkler systems to VCRs, with a touch tone phone from any remote location.

This is no reason to buy ELON. All of the above is pretty basic stuff being done by many different systems. The key is as I stated before is LON will allow INTEROPERABILITY between the dozens of different systems.

For instance how does LON or any other system turn on your lights or sprinkler system? It needs to do it via energizing a relay, not very discontinuous. The discontinuous innovation will be if LON becomes the standard for devices then Lon will be able to communicate directly to the device without the need for relays. If you own a building that has a honeywell LON compatible system in it and you buy the building across the street with a Johnson Lon compatible system you now can connect the two buildings and control them from a central site, where as in the past you would have to change one system over to the other so they could communicate. Different LOn systems such as fire alarm, lighting, hvac could communicate directly instead of thru relays and custom interfaces they use today.

Although you would never know it from the stock price, I think it's early for Elon since it's value chain hasn't fully developed. OTOH I don't see Bacnet or anyone else developing a better value chain or any faster for that matter. I would like to see more device makers like Levitron and Honeywell to sign on and a pullback in the price so I can buy in<G>.

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