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Technology Stocks : METRICOM - Wireless Data Communications
MCOM 0.00600+15.4%2:45 PM EST

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To: Phuoc Le who wrote (910)1/21/1999 12:45:00 PM
From: Lewis Edinburg  Read Replies (1) of 3376
 
With all your analysis of the facts, don't you think that Metricom is in a much different position than it was in Q1 through Q3 of 98?

CONSIDER:
It apparently has had success in its beta testing of Ricochet2 in a small region of the Bay Area. That would indicate that much of its development costs and uncertainties for Ricochet2 are behind it.

CONSIDER:
On Dec 23, Metricom's President and CEO stated: "We're making significant progress in 14 major metropolitan areas in gaining access rights for our next generation radios and equipment. By year-end, we expect to have 30% of these agreements complete, with over 50% in final negotiations. With these agreements in place, we plan to deploy our next generation network just as soon as Ricochet2 testing is complete."

CONSIDER:
With the above difficult and time consuming part of the work either behind them or soon to be, what they need now is money and time. Those two ingredients will allow them to deploy the repeater radios in the areas where they have agreements in place.

With the new network going into place they can begin to advertise for customers. Currently, Ricochet is one of those well kept secrets. You have to work to find out about it if they have the service in your area. Once the lay public learns what they can get from Ricochet, for what price, and not use up a phone line to get that service, they will be beating down Metricom's doors to sign up.

The above hold true whether AOL buys Metricom or not. Someone will come up with the money or acquire Metricom. Either way, the Ricochet technology will be deployed.
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