Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Nokia (NOK) -- Ignore unavailable to you. Want to Upgrade?

To: Clean who wrote (2565)	10/22/1999 10:09:00 AM
From: tero kuittinen	Respond to of 34857

It's been one of my top picks since their last November IPO. Up by more than 200% by then. They are developing advanced mobile technology in Finland and using the country as a test market - then selling the expertise to operators around the world. M-banking, encryption technology and value-added solutions like down-loading software to mobile phones from internet are some examples. The international strategy will drive their subscriber growth. Sonera bought stakes in Turkcell, Aerial, Powertel and Eastern European operators when they were dirt cheap. It's very expensive for any company to buy stakes in mobile operators now that the prices have run up. The window of opportunity for formulating an international strategy was open in 1996-1998. So I'm not too worried about the saturation of the Finnish market, Sonera's focus is abroad. They maneuvred into owning a chunk of Voicestream by buying stakes in VSTR's acquisition targets - a brilliant move, because a cheap stake in Aerial was suddenly translated into an expensive stake in VSTR after the take-over. This is what I'm looking in a mobile operator - a focus on value-added services, internet, mobile banking and international growth opportunities. I know that every operator is now talking about this stuff. But Sonera actually started executing this strategy in 1996-1997. It's a risky stock - like all mobile operators. But I think that relying exclusively on mobile manufacturers is even riskier. We simply don't know who gets the biggest chunk of profits when mobile data really takes off. Tero