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

To: Brasco One who wrote (5360)	9/25/1999 3:57:00 PM
From: Frank A. Coluccio	Read Replies (1) \| Respond to of 12823

IMO, the answer to "how long" or how much time would elapse before upgrades would occur to outlying areas would be, with some exceptions where affluent residential pockets exist: Inversely proportional to the teledensity of any given area. Probably exponentially, beyond a certain density and reach. At the same time, a good many regions of the country where cable is already being maintained by MSOs (in the same sparse regions we're talking about where copper lines are outside the dsl limits), T and others are beginning to penetrate with HFC designs, and these new builds portend to be able to carry both voice and data, as well as video, equally well... arguably. A percentage of these MSO customer bases might be inclined to take a bundled offering from the cable co... to include internet access and some forms of telecommuting services, while continuing to maintain their primary twisted pair copper lines with the ILEC for lifeline voice service, only. In most instances, no such counter-offer could readily be made by the ILEC, itself, which yields an appreciable advantage to the cable cos in these instances. The ILEC, in turn, may view this as a major detractor, or a showstopper of a disincentive, to spend additional capital on what may only be a marginal return, or worse - a loss, and instead, they would most likely continue to focus their energies and capital as they always have, on the more lucrative market segments as a measure of teledensity. Note, I didn't say population, instead I stated teledensity. There is a difference. There are plenty of highly populated districs, even in the nation's largest cities, where service continues to be paltry due to depressed economic conditions. These are what have euphemistically been termed, classically, as underserved areas. Others have tagged this 'phenomenon' as phonelining. But I digress.. Adding to these disincentives will be the growing number of terrestrial wireless and satellite offerings which users will also have to choose from. HTH, and comments welcome. Regards, Frank Coluccio