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Technology Stocks : Osicom(FIBR)

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To: David Pawlak who wrote (7071)6/1/1998 2:34:00 AM
From: craig crawford  Read Replies (1) of 10479
 
<< Well, here we go again... seems that you have a selective memory Craig. I never guarenteed >>

Ok, technically you never used the word guarantee. You implied it with your confidence that it would happen.

"Craig, I believe that it will be deployed a lot sooner than 3 months. The reason that I am going out as far as 3 months is because by that time I should have no problem being able to prove it to you."
Message 3621343

<< I recall suggesting that we make a bet but you didn't take me up on it for some reason >>

Ahh, that's because you can't be counted on to stick to your original bet. I can just see the squabbling and bickering that would have happened 5 days from now if you were proven wrong.

Your original bet:

"I'll make this little bet with you. If Brooks doesn't deploy Osicom's Gigamux into their network within the next 3 months, I will disappear from this thread. If they do deploy, you will disappear."
Message 3618854

Then a few days later you change your offer to a proof of sale.

"Well, my offer still stands. If proof of a sale doesn't materialize within 3 months, then I'll stop posting here. If proof does materialize, then you walk away. It's that simple."
Message 3647521

<< What makes you so confident Brooks doesn't have it up and running in their network right now? >>

Like I said before David, you are a perfect Osicom robot. You have been trained well. "Up and running"...hmmm, where have I heard that before? Ahh, yes...my selective memory is coming back to me. Osicom tried to mislead the public with that "up and running" crap at NASA. After much pressing by a CC listener, Osicom management clarified the statement by saying that NASA was "testing" the Gigamux and wasn't necessarily interested in purchasing the Gigamux.

Can I infer that when you say "up and running" you mean the same thing Osicom mangement meant? That Brooks is testing the Gigamux at it's facilites but doesn't have any current plans to purchase the product for deployment?

<< The announcement of the first major telco launching a short haul DWDM solution would sure be a great release to kick off SuperComm with. >>

I suppose so, but wouldn't it be better to see a quarterly release from Osicom with rising sales and earnings? Sales and earnings that increase at a rate greater than the shares outstanding? I won't be impressed with anyone (Brooks or otherwise) deploying and paying for the Gigamux. Osicom has the type of management that might practically give away a product just for the press value.

Let me tell you why. Osicom management as well as everyone else on this thread knows that Osicom will never earn a consistent profit. Now if there are a bunch of shares that could be converted and hitting the market soon it would be beneficial to issue a press release such as a Brooks Gigamux deployment just to prop up the price of the stock. Osicom mangement knows that if they don't prop up the price of the stock more shares will have to be converted due to the lower price, and that's not good for anybody.

So you see, shareholders of Osicom have a problem because management is more focused on the stock price than running the business. That's what happens when a company faces massive dilution from potential conversions, it becomes a vicious circle that takes attention away from the business at hand which is to try to sell the Gigamux at a profit. Management is forced (or chooses) to spend more time trying to prop up the price of the stock to ward off heavy dilution. In order to do this, a company like Osicom will sell a product like the Gigamux at whatever price they can get (or not even sell it at all), as long as they get to drop a big name like Brooks or NASA in a press release. They figure that even though they are not making any money on the sale they are helping to keep the share price up with the press release and publicity, which curtails dilution.

That's why I wouldn't be surprised to see some worthless Brooks announcement. It might look good on the surface, but a few months later it won't show up on the bottom line.

You've got 5 days until your 3 months are up, David.
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