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Technology Stocks : PSIX up 26.5%, Takeover(?)
PSIX 65.20-1.9%3:59 PM EST
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To: neko who wrote (42)5/20/1996 12:25:00 AM
From: Doug Lakin   of 5650
 
neko, I spoke to a CIO in a Fortune 500 company, and he stated to me the reason why his company would not go with a publicly traded ISP was that the Netcoms and the PSIs came from a consumer base and now they are trying to identify themselves as ISPs for business. He said he does not buy that because the ISPs still have far too many consumer customers, which divert customer support away from business customers.

The only publicly traded ISP which is (IMO) capable of supporting business customers is BBN. I bought BBN in the teens before the AT&T announcement, and watched them go up to 45. Unfortunately, I got caught in AT&T's web when they announced their All-you-can-eat service. BBN didn't suffer as badly as the other publicly traded ISPs, because they were the only one that was solidly into the corporate market, especially in the two most important regions, Silicon Valley (BARRnet) and New England (NEARnet).

BBN did not come from the consumer ISP market. They are an infrastructure company that engineered and designed the Internet from the beginning, and are still involved in the design of the high-speed Gigabit networks of tomorrow. If any ISP is undervalued, it is BBN. I no longer own BBN, but if I were to buy an ISP, they would be the only one I would recommend.
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