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Technology Stocks : LAST MILE TECHNOLOGIES - Let's Discuss Them Here -- Ignore unavailable to you. Want to Upgrade?

To: MikeM54321 who wrote (4407)	7/7/1999 10:53:00 AM
From: MikeM54321	Read Replies (1) \| Respond to of 12823

Re: Cox Communication's Cable Plant Thread, Just listened to a CNBC interview with the CEO of Cox. Just in case some missed it, another deal was done this morning that makes Cox the 5th largest MSO in the nation. What transpired was a transfer of AT&T customers to Cox in exchange for the return of Cox's ownership of AT&T stock. All the customers that AT&T gave up are from the South. - Cox will return 50.3 million AT&T shares($2.8 billion) - Cox is paying about $4,230/customer - Cox will now have 5.5 million customers - Cox will be 5th largest MSO - AT&T will turn over 495,000 customers to Cox - AT&T will pay Cox $750 million in other considerations James Robertson(CEO of Cox) said it makes sense because economies of scale are only good if the MSO customers are clustered. Of course this makes sense because once the MSO builds their 2-way HFC, voice, video, and data networks, they want to deploy/service it to as many customers in that geographic area as possible. So that is why this deal happened. Robertson was asked directly about the DSL threat. Basically he said, he believes (of course) the cable pipe is the way to go. Cable is here and now. Numerous Cox customers are currently receiving voice, video, and data services. So FWIW(a lot to last mile MSO investors!), Robertson is in the same broadband camp as is Armstrong. Cox wants to by pass the telco local twisted pair copper loop via their coaxial network just as Armstrong does. Hence more spending by this MSO for HFC equipment and services. MikeM(From Florida) PS For reference purposes, I linked mutiple posts back to back. You can browse right back through a number of cable deals now.

To: MikeM54321 who wrote (4407)	7/29/1999 1:42:00 AM
From: MikeM54321	Read Replies (1) \| Respond to of 12823

Re: Paul Allen's Cable Plant Thread, I hope no one has already posted this article. I've been behind in my reading of the Last Mile postings. Anyway, here's the first shot to raise funds to spend the billions needed by Paul Allen to do all the upgrades of his cable empire to two-way HFC. We all knew this was coming and I imagine there will be more. MikeM(From Florida) _______________________ Allen's Cable-TV Company Charter Files To Hold $3.45 Billion IPO NEW YORK -- Charter Communications Inc., the cable-TV company controlled by billionaire investor Paul Allen, has filed with the Securities and Exchange Commission for a $3.45 billion initial public offering. Charter, which expects the IPO to occur late in the third quarter, said the number of shares to be offered hasn't been determined. The company will use the proceeds to finance acquisitions and repay debt. In the past year, Charter and Allen have invested billions in cable firms and assumed several billions in debt to become the fourth-largest cable operator in the U.S., behind AT&T Corp., Time Warner Inc. and Comcast Corp. Charter Communications, which has about 6.2 million subscribers, plans to use its growing cable systems to deliver advanced services and digital information. Allen, a Microsoft Corp. co-founder, and his investment firm Vulcan Ventures have committed $12 billion since January for investments in more than 20 Internet, cable and technology properties. Allen believes cable lines will be the best way to quickly deliver interactive services to consumers, including educational materials, Internet access, entertainment and sports content. In particular, Allen, whose personal fortune is valued at $30 billion, is a big fan of cable modems, which deliver data at high speeds to homes. In April 1998, Allen bought Dallas-based Marcus Communications, the 10th-largest cable operator in the U.S. Three months later, he folded Marcus into his newest purchase, St. Louis-based Charter, which then went on a shopping spree.