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Microcap & Penny Stocks : FRANKLIN TELECOM (FTEL)
FTEL 0.812+6.9%3:59 PM EST

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To: Judith who wrote (22688)12/6/1997 5:32:00 PM
From: Martin P. Smith  Read Replies (1) of 41046
 
Judith Good post with good questions. However I would like to point out that the message mentions FX Product Development This refers to The Franklin Express (FX) NOT the FXO product line ( Tornado, Cyclone typhoon ). FX is the Franklin half of the Digital Express venture.

As far as I am aware the majority of the hardware line is not affected by this presidents message. Most of the hardware on the Franklin product page ftel.com is used in POP setup or for corporate internet access. These products are complete and in production. The sales emphasis may be on the DVG but if that is where the money is going to be made then so be it.

Franklin has moved itself into a postion where it is providing a range of products to spit DATA across the internet. Franklins product line is focused on DATA managment VOICE is one part of that.

In your summary you state

"My interpretation is that FTEL went from Frame Relay, to satellite, to ATM, and from hardware and internet application and services to now a "telephone company". My concern is what will the direction change to next year"

I take the first half of the sentence as a positive. Franklin are supporting the standards of the market place. Please note we STILL support Frame Relay and Sattelite Frame is predominant at this point ATM is likely to become major.

Addressing the second half and I don't wish to sound negative but have you read the Business plan for FNET. The second half of the question exactly reflects the Business Plan. FTEL provides the HARDWARE and FNET is an internet provider and Telephone service provider.

I agree that it is a shame to see FX deemphasized at this time. However FTEL and FNET need to focus on what will grow both companies in preperation for the IPO of FNET.

MArtin Smith
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