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Technology Stocks : Westell WSTL

WSTL 5.680

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3:48 PM EST

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To: JW@KSC who wrote (13787)	10/29/1998 6:05:00 PM
From: matt gray	Read Replies (2) of 21342

thanks for the links Jim I appreciate the good information. For those who have not read the article it is a very interesting technical discussion. If I may summarize...the articles focus on modulation theory and noise effects. Why is this important? Noise causes Bit Errors which subsequently creating packet loss and destruction in IP packet transmission. However, TCP/IP is a sliding window protocol and destroyed packets cause packet retransmission until an non effected CRC checked correct packet is recieved. Noise effects overall data transmission speed...nothing more nothing less. The long and the short of all this technical gobbldygook is still speed. No one is doubting that DMT is faster....it is much faster. The DSP technology is remarkable and these folks are brilliant for creating such great technology. However the predominant issue is not that one local loop technology is faster but how fast is fast enough? For the foreseeable future [several years] I would argue that CAP is plenty fast. The bottleneck, unless someone can explain otherwise, is not local loop speed. An analogy would go something like this: I may be able to drive my IROC up the ventura freeway on ramp at 140 mph but if I encounter a traffic jam that moves at 3 mph what good is my 300 hp? If I can run at T1 speed [CAP] vs 7Mbps [DMT] who cares? When I hit my service provider and the Internet backbone I will be limited to speeds less than the CAP access speed. For instance, I know of at least one cable modem/CATV ISP that runs no greater than multiple T1 to the net. The question still remains why wouldn't Westell sell significant quantities of their CAP modem when ASDL rollouts begin?

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