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Technology Stocks : GST Telecom (GSTX) 4th quarter earning
GSTX 0.01000-33.3%Dec 3 10:47 AM EST

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To: telephonics who wrote (101)10/17/1997 10:54:00 AM
From: webpilot   of 369
 
Looking out a couple of years the telephone companies look like a disaster waiting to happen. Due to deregulation and fierce competition it looks like a poor place to have an investment. A short time ago long distance rates were .25 a minute, now I see .05 a minute. Every night at dinner time some teleco is calling to offer a new discount, I turn on the tv and see another discount offered. With much more competition coming on line such a internet phone calls, more and more wireless spectrum, everyday a new satelite being planned or launched, it looks like the aviation industry did 15 years ago only much worse. At the rates that these services can demand I am surprised that these companies can borrow. How can a CLEC, installing equipment even approach paying it off at todays rates?
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