Well Scott, I'm afraid Monday may indeed be quite ugly. However, for those of us who truly believe in the technology and have faith in the wireless cable industry, shouldn't we be embracing this unfortunate situation as a potential buying opportunity?
I strongly disagree with the basis of the allegations against CAWS and believe that, if anyone is liable for promoting and inflating the stock price, it is the unscrupulous market makers and manipulators that we so much love to hate.
In the October/November 1996 issue of Wireless Broadcasting (I know of no website for this publication), there is an article which summarizes the September 19 Kagan seminar in New York on "Wireless Cable Values and Finance". The seminar focused on alternate approaches to bring home the Internet for MMDS customers. (Do keep in mind that video delivery is the main revenue stream for MMDS and that Internet
is simply an additional value.) Bob Schmidt, president of the National Digital Network (NDN) in McLean, VA (and former president of the Wireless Cable Association in Washington) described the trial he was running in Washington, D.C., working with CAWS to provide Internet access to various universities, elementary schools, the U.S. Navy, <law firms> and home users. "Schmidt's trial uses an analog system to deliver the service in which he says one 6 MHz channel can deliver revenue equal to the total revenue from the entire available spectrum, and that one can have a successful business with as few as 1,000 subscribers." Schmidt also quoted speeds of 27 Mbs and announced plans of a service launch in the 1st quarter of 1997.
As for myself, I'm taking the week off with my family and will be leaving all my search engines and high-tech toys behind. Scott, I trust that you will be leading S&Z bravely during these difficult times, and I look forward to catching up with all the postings when I get back. Also, please extend Mr. Kornblum a generous offer as corporate counsel for S&Z.
Gook luck to all.
Zorro |
