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Technology Stocks : NEXTEL
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To: Frederick Smart who wrote (8526)1/8/1999 5:20:00 PM
From: Joe NYC   of 10227
 
Frederuck,

Other PCS carriers know this all too well. There is fear in the marketplace for the inroads Nextel is steadily making.

I think Nextel has been here before PCS, so it's hard for Nextel to make inroads to their territory. I think it's the other 800 MHz incumbents who have to work on keeping their analog subscribers from getting digital elswhere.

I think if anything, it's the other way around. Nextel is now established company (in some markets) and PCS carriers are only now starting to seriously add customers.

Nextel is reporting great numbers of new adds, that will probably always be higher ARPU than regualr wireless, since Nextel is mainly a business tool while a lot of people use wireless phones for personal use, just to call from the car they are "on the way".

There is a lot of room left for Nextel to grow, but I don't think Nextel will participate seriously in the market of people replacing their wireline phones for wireless.

Joe
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