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 : General Magic -- Ignore unavailable to you. Want to Upgrade?

To: micny who wrote (7258)	11/11/1999 11:10:00 AM
From: dwight martin	Read Replies (1) \| Respond to of 10081

The picayune rhetorical victory you think you get by posting identical messages is outweighed by the loss in stature you suffer from doing so.

To: micny who wrote (7258)	11/11/1999 12:17:00 PM
From: dgurgel	Read Replies (2) \| Respond to of 10081

You raise valid points. In 1994 and 1995 General Magic's first product, the Magic Cap OS for handhelds, was rolled out on Sony and Motorola handhelds. The Motorola product, the Envoy, was way ahead of its time and had a built-in wireless modem. The Envoy was featured on the inside back cover of Wired. AT&T did the network backend: email, shopping, etc. Sony, Motorola, and AT&T each spent tens of millions on their pieces and provided additional funds to GMGC. With Sony, Motorola, and AT&T as partners, the Magic Cap product failed. What is different this time? On the negative side, the team this time has GM and Excite, not yet the caliber of team they had in 94/95. Perhaps we can soon add Bell South. On the positive side, they seem to have a product where they do not have to create the demand. Portico & myTalk seem much more timely. I believe the portals (including AOL) and the telcos all will be adding myTalk/Portico type services within the next eighteen months. We would be having a grand time as investors if this company were three years old and had lost $60 million to date. Since the company is eight years old and has accumulated losses of about $250 million to date, there is going to be a lot of resistance on the way up. Could these guys have a market cap of $500 million within eight months? Sure they could. And that would be a price of $12. Some additional dilution will occur so perhaps the upside short-term is $8 - $10. And the downside is where we are at right now. Execution is indeed the key. Over the next six months there will be many deals going down. If GMGC doesn't win its share, then forget it, GMGC service is a bust by itself. I think that, in a case like this, the key will be the CEO. This over-raced, never in-the-money horse, needs a good trainer. One good thing, his long experience at Novell and AT&T get him in the door with the telcos. Let's see what Markman's got.