Winstar Comm. (WCII) Message Board

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Technology Stocks : Winstar Comm. (WCII)

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To: TheSlowLane who wrote (692)	2/16/1997 3:57:00 PM
From: Ross Abrams	of 12468

A possible reason for Winstar's recent weakness could be the fact that MCI is beginning a rollout into the New York Market. Here is the opening text from today's Sunday Newsday (full page story in business section): Disconnecting Lock on Local Service MCI Communications Corp. the company that's made its mark in the long-distance calling, is out to break the virtual lock NYNEX has on local service for residential customers in New York. That will make MCI a competitor - and a customer - of NYNEX Corp., since MCI plans to buy use of NYNEX' network at a discount and then resell the service. You tell me, is that an awkward relationship? Consumers who sign up with MCI for local service will be billed by MCI. They'll contact MCI's customer-service representatives when they have a billing question or want to order a repair. But, if a cable needs fixing, the fixing is likely to be done by NYNEX. Competitors depend on NYNEX' wiring to homes because of the huge cost of duplicating it. So, as awkward as the relationship may be, it is economically driven in this transaction stage in the dawning of competition. MCI also has run recent advertisements for business local service in the New York area. ???????

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