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Microcap & Penny Stocks : USWE - US Wireless Data (formerly USWDA)

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To: Rob S. who wrote (196)1/6/1998 5:55:00 PM
From: rev  Read Replies (1) of 370
 
Rob,

Are you suggesting that CDPD is an analog system? I was under the impression that CDPD was a fully encrypted digital system that was intended to support the transfer of data versus voice. The additional security provided by this encryption ability seems ideally suited for USWDA's products. If you are right, I would agree with you in theory, but remember, these CDPD networks, regardless of analog or digital, are networks that have been paid for which are like roads that aren't being used. Companies like GTE are incentivized to fill them with traffic to recover the costs of building them, which is where USWDA enters the game with their Tranz Enabler devices.

Regarding the revenue capability/breakdown: I think $0.08/transaction and .5% of the dollar value of each transaction sounds correct. Volume is key for this company. I too am disappointed with the delays relating to new GTE like contracts. These companies are big and things can take time I guess. At $5.50/share, the risk to reward seems inviting for those with risk capital. If this company can sign other agreements and eventually place 100,000+ boxes (5% of existing Verifone market), the stock could see the 20-30 range in a few years and then be bought out by a RBOC or major credit card company.

Good luck,
Jason
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