Spoke to the company on friday. Things are beginiing to show a decent pick-up. The comapny has been working closely with Bell Atlantic in all three regions to help them with their inventory programs. It seems a bit too early to tell how they will bounce back from last quarter (BellAtlantic), but things should become a bit more clear around the middle of November. Some of the other RBBOC'S have been working with a new piece of software which shows the 'testability' of their networks. What they have been finding id that the networks, which were estimated to be about 90% testable, were turning out to be about 40% testable. That means that the infrastructure that they thought they had in place, is not there. This caused a number of quick inquiries to TLGD as soon as the results were apparent.
The cable product is also doing well. The OEM relationships and the direct sales should cause them to break out these sales as a separate item either this quarter or next quarter.
The company has seen no indication that there is any slowdown in capital spending from the RBOC's. The usual dire predictions (they happen every year and the spending levels are always higher than predicted) have seemed to quieted down, with the usual worries from suppliers slowly fading. TLGD has already been approved for a number of programs for next year, so things look like they will be shaping up for '99
Lucent should start field trials in 1st Q, with a great deal of interest from customers. TLGD will supply the hardware, Lucent, the software, although it is an open platform and anyone's software can be used. LU is supplying leads, joint presentations, etc, which will help the company establish themselves quickly with the product.
Overall, things seem to be going well, with Bell Atlantic still being the wild carrd. More as the month progresses. |
