Your point is well taken. Diversifying into satellites makes sense in the long term. But we live in the here and now. Last time I checked AT&T was focusing in on solidifying their place as the number one telco in the US, by among other things, buying a local carrier in response to US deregulation. They may be diversifying into the satellite business but haven't lost focus of their core business today. Motorola similarly is focused on its markets, while diversifying. And last time I checked Mr. Gates dominated the software business. If he is placing a side bet on satellites - it's among many he's placing (cable, internet content provider a la MSN etc.), and frankly he can afford it.
My point was that BCE is not, if their public comments are taken at face value, responding to what I think is a competitive threat from Telus. IMHO, BCE should be solidifying its spot as the number one telco in Canada prior to deregulation that will someday happen in Canada (foreign competition in the future ?).
You may be right Telus may have a take-over premium priced in. I don't know. But why do you care given you don't have a stake in the Company. Forgive me for prying, but are you a BCE shareholder ? If you are, and if any of my past or current comments offend, I apologize.
Cheers |
