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Technology Stocks : NEXTEL

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To: Arnie Doolittle who wrote (3509)12/8/1997 12:54:00 PM
From: P.T.Burnem  Read Replies (2) of 10227
 
Is NXTL a great opportunity or what?

IMO, NXTL sucks.

In my area, Sprint's PCS service could be had for $30/mo. The price includes 300min, 150min of which are off-peak. Nextel's costs $39/mo for 75min, and up.

Nextel's network operates on lower frequencies and, as a result, ought to have a lower bandwidth that the regular PCS. On top of it, iDen is based on an outdated bandwidth-wasting technology (TDMA).

Nextel is dependent on a single technology supplier - Motorola. Nextel's handsets are bound to be inferior to and cost more than PCS ones.

Nextel's marketing has narrowly focused on the business customer leaving the rest of the wireless market to Sprint PCS and the likes. Now that the window of opportunity has closed and AT&T Wireless is moving into Nextel's turf...

Technically speaking, NXTL is about to break down through its $24 support level.

PTB

P.S. I am long NXTL, unfortunately
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