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Technology Stocks : Source Media SRCM

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To: Sir Auric Goldfinger who wrote (326)7/16/1998 2:53:00 PM
From: Pluvia   of 3015
 
STRONG SELL Rec on SRCM, Buyer Beware (2) cont'd

The big issue I feel is whether or not the technology works - and are the patents restrictive to the "BIG BOYS" getting into the cable internet market.

1. According to everyone I have spoken to, people familiar with the technology indicate it is aged and has been leapfrogged by better technology. In fact they suggest the technology they use would not satisfy the needs of today's typical internet user...

Everone I have spoken with agrees with the "limited use of SRCM's technology with today's internet users" as is described in this post where it says:

"2: Limited potential for the virtual modem. Source's product actually has a server at the head-end which is accessing the internet. It then sends addressable video frames to individual set-top boxes. It is not a direct link like a cable modem since your are acutually getting pictures from the server accessing the net. You cannot link a PC to it like @Home. To surf the web, you use a remote to select buttons or can use an on screen keyboard. This is impracticle for typing e-mail, chatting, playing on-line games or sharing files. Its real use is to check e-mail or general surfing. However, for e-mail, most people want it on their PC to keep addresses, type responses or print a hard copy. It is unclear if you once download e-mail to the Source server if you could then later download it to your PC. Compounding their problems is that the set top box makers have also said they may just build in a cable modem into the box."

Message 4103214

But there appear to be other significant problems with SRCM also that lead me to believe there is no way a buyout being considered for this company...

More to come...
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