You are obviously thick, but here goes:
"First, that's not the business they're in. Second, you'd better hope they're not in that business because there isn't a single major ISP on this continent making an actual profit."
Well, all I can say is in their 1Q cc they stated that at 100,000 Palm.net subcribers they are already breaking even.
" What content business? How many internet content companies have ramped up and disappeared in the past year? Who's making any money on this? And if you say Yahoo, you'd better be prepared to discuss something other than "pro forma" earnings. :-)"
Ever heard of PPV services?
"
Again, I ask, who is making money actually doing this? Don't confuse access fees with money that ends up in PALM's pocket: wireless data access is something PALM has to buy from the likes of Sprint, and it is in Sprint's pocket, not PALM's, that those access fees will go. This is a repeat of the landline ISP game..."
Wrong again. If you look at the transcript of the Sprint PCS/PALM conference call, you will see that PALM will share in the monthly revenues whenever a Sprint subscriber signs up for the Dual Mypalm portal- Sprint wireless web. Sprint wireless web will then get slowly phased out and will use the Co-branded Mypalm portal excusively once Sprint PCS moves to 2.5G.
" I have no doubt. Unfortunately this stock sports a triple-digit PE: millions of $$$ just isn't going to cut it. They need A LOT more than that"
They need to make " in the millions" before they reach " the billions" last time I checked my math.
"That would be a neat trick considering some of the hottest selling PALMs aren't even upgradeable. It seems a reasonable bet that the mass-market bottom-of-the-line Palm's of the future will also achieve relative price cheapness by being non-upgradable"
In case you didn't know. Every PALM III and higher are OS upgradable. Thats about 9.5 million of the 10.9 million installed base as of November 30, 2000. |
