All, In analyzing the overall scheme of the things, as to where FTEL may fit into the Internet play, consider this.
If US Robotics and others are coming out with 56.6 kb modems, what good are they, if you have no ISP to hook up to, that provides 56.6 kb service? How many of you have 33.3 modems or 28.8 modems, but can only hook up to online services such as Prodigy at 14.4 kb? It takes two to tango, so without the ISP's having the 56.6 KB equipment, all the 56.6 kb modems in the world are useless.
Here is an excerpt from a TI press release that backs that statment up, read carefully, and understand the opportunities that exist for FTEL, as the installed base scrambles to upgrade, not to mention the pandimonium created at the equipment supplier level as they recognize the opportunities that could allude them if they don't have a products to offer the ISP. Here's a portion of the article:
HOUSTON, Oct. 16 /PRNewswire/ -- Texas Instruments (NYSE: TXN) (TI), the industry leader in digital signal processing (DSP) solutions, announced the immediate availability of modem chipsets compliant with 56 kilobits-per-second (kbps) "x2" technology from U.S. Robotics Corp. (USR, Chicago, Ill.) TI's chipset platform for the new 56 kbps modems gives modem makers a distinct competitive advantage by providing a proven chipset that is currently in full production, and facilitates a flexible software modem solution based on a software programmable digital signal processor (DSP) chip.
Because this new technology is based on existing modem chipset
architectures, TI will make x2 technology available by the end of this year. Nearly 20 million modems using TI chipsets have been in mass production since 1995. This ability to swiftly deploy a new, state-of-the-art communications technique to end users exemplifies the advantage TI's software-programmable modem chipsets brings to modem manufacturers.
"The promise of 56 kilobit modems certainly represents one of the biggest Internet connectivity breakthroughs in history," said Mike Hames, vice president Semiconductor Group and worldwide manager of DSP at TI. The new 56 kbps x2 technology uses traditional telephone lines to allow Internet and on-line services users to download text, image, and video data at twice the speed of today's 28.8 kbps modems.
"Any kind of 56 kbps connectivity requires identical protocols both in the user's modem and at the Internet service providers (ISPs) where reprogrammable USR modems are already widely installed," continued Hames. "This alone will make x2 an automatic de facto standard for Internet access equipment." Any modem product designed using the TI chipsets, including PC modem cards, external PC modems, and Internet access equipment, will be compatible with x2.
Does D-Mark channelbank ring a bell? At half to one third the cost of USRX's "Total Control" product. No wonder USRX is looking. How many others are going to be scrambling for a product offering, that fits the specs and is affordable to most ISP's?
With these 56.6 kb modems going into wide distribution at years end, is there any wonder why FTEL has been a receiving a flurry of activity lately? How can IPS's nationwide afford to offer such a service? Those that don't, know they will fall by the wayside.
As an afterthought, do you think FNET will have 56.6kb service?
Can you start to see the advantages of FTEL supplying FNET with equipment? Wait till you see what the other 10 services slated in 1997 can add to the synergy's.
rb |
