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Technology Stocks : Amati vs Westell, DMT vs CAP ADSL
WSTL 6.420+5.6%Nov 5 3:50 PM EST

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From: Ken Peterson4/23/1996 9:24:00 PM
   of 1365
 
So what does all this mean to ADSL?

1. ISDN is entirely inferior for 2 reasons. The first is that it
is not fast enough, the second that it has to receive special
treatment to be switched at a central office (where all your
calls are switched locally to the rest of the network). When ADSL
gets to the C.O., it is met by an ADSL 'un'modem (for lack of
a better word) that translates it to look like any other regular
phone line that can be switched by ATM or conventional phone
switches. The one advantage ISDN had was that of using the existing
copper (DS0) infrastructure which the telcos will fight tooth and nail to
squeeze every penny from. ADSL is a hands down winner because it is
cheaper at the customer location (1 copper line vs. 2), cheaper at
the central office, and faster.


2. ADSL is a standard for copper. The same theory can be applied to
coax to achieve results that will kill ADSL. This is being worked
on now by NT/BNR for the cable companies' networks. However, security
is an issue on the current cable network layout. The current topologies
will allow about 30 lines to have shared access. Someone in your
neighborhood or apartment building, if so inclined, could demultiplex your
signals to and from and see what you are transmitting. This is no easy
task, but if you are paranoid about security then it is a possible
concern. Cable faces two main barriers. First the infrastucture has to be
built. This could take 5 to 10 years. Second the security issue has to be solved.

3. The telcos could bring fiber to the home, but it is not economical or
needed yet. In this massive expansion of bandwidth we've seen the telcos
have consistently been the bottleneck. They will continue to be because
they come from a conservative utility minded background.

If you made it this far, congratulations. Hope it helps. Its my opinion that
ADSL and its children (HDSL,VDSL) will be the dominant transmission option
as an onramp to the net for at least 10 years to come. I don't think you can
go wrong choosing any of these early players.


I still haven't seen anyone here who knows the difference between CAP and DMT. If
anyone can explain please do so. I haven't seen any specs on either yet.
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