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Technology Stocks : Voice-on-the-net (VON), VoIP, Internet (IP) Telephony

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To: Stephen B. Temple who wrote (2654)4/27/1999 8:38:00 AM
From: Kenneth E. De Paul  Read Replies (1) of 3178
 
I view AT&T cable venture as more of a threat towards local exchange carriers v. a real business move. AT&T is a long distance and cellular provider. For access to its long distance, it pays a fee to the locals. If AT&T were to bypass the locals with cable access, it could certainly save all those fees paid to the local bells. This business case would certainly pay for a lot of upgrades and development of cable networks to carry phone service. I don't view, this case too highly, as it doesn't seem like the return on investment is going to be suffient. I do view this move as a powerful way to put pressure on local companies to lease lines to AT&T. The VOIP part has all the implications of a dramatic shift instead of a gradual shift to me. But that is for another message.
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