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Technology Stocks : COM21 (CMTO) -- Ignore unavailable to you. Want to Upgrade?

To: Jason who wrote (1181)	11/1/1999 12:01:00 AM
From: Techplayer	Respond to of 2347

Jasom, I had not looked at the situation that way since until the last test results were delivered, the management seemed to disregard the importance of this acceptance. quite honestly, I do not fully understand the importance of the Cablelabs acceptance myself given the numbers that CMTO just released. Good luck, Brian

To: Jason who wrote (1181)	11/1/1999 10:10:00 AM
From: lml	Read Replies (2) \| Respond to of 2347

Jason: Interesting comments. I would tend to agree with you but right now the verdict is still out on management. Many here seem to think that all CMTO has to do at this point is pass CableLabs certification and the stock will zoom upward. Nothing could be further from reality, or should I say, investor psychology. IMHO, receiving certification would be less than half the battle, much less. What many apparently fail to understand here is that management's credibility was severely damaged in September when CMTO failed to receive CableLabes 1.0 certification, particular, after management had given shareholders assurances that receiving certification after three previous failures was a "slam dunk." Technology is one thing, but management is everything. And if many here think that technology will rule the day let me be the first to tell them they know very little about investing in technology companies. Management is the key. Notwithstanding, for this stock to rebound to historic levels management has to not only pass certification next month, but also meet or beat Street expectations with stellar sales of its modem & headend equipment for the next few quarters going forward. When a company performs, the Street seems to have a short memory regarding management's past failures. And maybe it should since such a track record would serve to instilled renewed confidence in management ability to perform. Present confidence in management is severely lacking. In summary, if CMTO's modem receives the CableLab certification next month, the stock will move up, but IMHO don't expect it to break into the 20s. Management is going to have to earn such a market cap by reestablishing its credibility. OTOH, if CMTO fails certification again, the stock, IMHO, is pretty much finished. The stock would undoubtedly drop well into the single digits as remaining investors exiting the stock in droves. Management would be ousted & the company & its technology would likely sold to a company with capable management. However, in contrast to your comments, we're just not there yet. But that day in early December is approaching, & no day in the company's history has been so important to its future viability as this one. Perhaps, management will "get it" this time around, or it will be their last. JMO