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Technology Stocks : DSC Communications
DIGI 0.00010000.0%Feb 6 9:30 AM EST

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To: stuart arthur who wrote (2142)5/22/1997 11:34:00 PM
From: Jack L. Dlugach   of 4429
 
Well, once again I have to say that I think the stock with the
greatest "potential" is DSC of all the ones you named although
I like all of them.

As far as T goes, I don't exactly think it's yesteryears stock but
I think it's going to be a couple of years before we get a handle
on their direction and how all their plans are going to pan out.

Owning the world's largest cellular outfit isn't really too bad
and if this "new technology" they're talking about to bring local
service via low-priced wireless works out, then T may end up being
a big winner.

My belief is just that the existing locals already have a fully built
infrastructure that's there for the money and getting into long distance is simply a matter of regulatory approval since they've already got the networks.

In other words, it'll be easier for the locals to offer long distance
and also much cheaper than it's going to be for the LD's to get into
local.

Also, the alternative local carriers (don't want to mention names as
I work for some of them from time to time) offer inferior service and
if something goes wrong they don't have the staffing or expertise to
help the customers. IMO, some of them have such atrocious service and
attitudes that if the Street studied them more carefully, they'd see
that they're not losing money just because they have to build out the
networks, they're also losing money because they have to refund so much to the customers and pay a lot of money for damages. You wouldn't believe what I've run into from one of these pretty big ones
that has a hugely over-priced stock--some day that one's going to cost
its investors dearly--again, I can't say which one but it's not the
only one out there that's kind of scary.
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