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Technology Stocks : METRICOM - Wireless Data Communications -- Ignore unavailable to you. Want to Upgrade?

To: Tai Jin who wrote (1323)	7/10/1999 3:03:00 AM
From: Sherman Chen	Read Replies (2) \| Respond to of 3376

MCOM can't be expected to be profitable from the subscribers in the 3 or 4 metropolitan areas where they provide service now, while at the same time they are spending so much money on obtaining ROW's in major metropolitan areas around the country and finishing up beta testing of the 128Kbps network. I'd say that their service in the Bay Area is successful. They are losing money because they are still building out infrastructure nationwide.

To: Tai Jin who wrote (1323)	7/10/1999 5:14:00 AM
From: bak man	Read Replies (1) \| Respond to of 3376

MCOM loses money because building the infrastructure is painful and expensive. The new DEEP pockets should help on that front. In terms of AOL, they make over 80-90 % of there revenues from the monthly charges. As to your point that MCOM will not have advertising revenues like AOL....well that is true. But they got another HUGE potential source of income that AOL does not have..........ie other small gadgets that need wireless connection. OK play along with me..........its 2002 and the PALM 24 has just come out and you are rolling out TRUE two way internet connection. You are president of 3COM. Who do you cut a deal with so support wireless connection? The outdated Bellsouth Nationwide system which is nothing more than a glorified paging system at 9K or MCOM with true internet connection at 128 (maybe higher than that by then). But for the sake of discussion, even getting close to 50% of AOL revenue makes this an elite stock to hold long term. Lastly you state that you have not seen an explosion in demand for wireless service so far. Well thats like saying nobody wanted to surf the internet when modems went at 2400 baud. The demand for wireless is HUGE. The problem is no can yet provide it. Who will get there first?