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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Zoltan! who wrote (29463)	11/20/1999 10:30:00 AM
From: Ibexx	Respond to of 77397

Z, You simply can't listen to the bean counters when it comes to strategic value. Ibexx (a perma long of the cisco kid)

To: Zoltan! who wrote (29463)	11/20/1999 4:44:00 PM
From: Lerxst	Read Replies (2) \| Respond to of 77397

Hi Zoltan, Actually, the Cerent vs. Sycamore situation and the praise Cisco has received for saving billions of dollars has finally convinced me that the market has lost all remaining vestiges of sanity. Cisco's praise is premised upon the insanity that a startup going IPO with a single quarter of revenue ($11M) is fairly valued at $15B or $20B. How sound is this reasoning? Not much, IMO, but that's the way the game is now being played. BTW, I've heard through a friend of mine in the Valley that the Cerent deal has caused some Cisco engineers to reconsider their loyalty and throw their hat into the startup ring. My contact made mention that several developers in the IS-IS, BGP and MPLS groups have left Cisco, since the Cerent acquisition. Of course, this has to be taken with a grain of salt, since it's a single source (one that I trust), but I haven't been able to confirm this yet via additional sources. Regards, Lerxst

To: Zoltan! who wrote (29463)	11/21/1999 12:04:00 AM
From: Techplayer	Respond to of 77397

Zoltan, So what you are saying is that SCMR is fairly valued at $21 billion? Right. Perhaps the Cerent deal will be worth it, but a Lehman analyst citing valuation based on SCMR's ridiculous market cap is hardly proof. Btw, I have not heard any of the many CSCO detractors admit that they were completely wrong for bashing LU and my posts in regards to the LU/WCOM fiasco a couple of months ago. WCOM has not only continued to work with LU, it has increased its investment in LU product. Interesting. Have a nice weekend. Brian

To: Zoltan! who wrote (29463)	11/21/1999 12:07:00 AM
From: RetiredNow	Read Replies (2) \| Respond to of 77397

Look, I love Cisco, as anyone who's been on this thread for a long time knows. However, this snippet of an article is a piece of trash. They've got it all backwards. They say that Cisco was proven right in their overpayment of Cerent, because Sycamore came out and had a hell of an IPO. Well, open your eyes folks. The reason WHY Sycamore had a hell of an IPO is because everyone looked at Cisco's track record, thought "damn, if Cisco says this market is worth that much, it must be so. Therefore, Sycamore must be worth $X." Next thing we knew Sycamore was as overpriced as Cerent. Folks, that doesn't prove Cisco right. The only thing that will prove Cisco right is if Cerent brings in the billions of dollars of revenue we all expect it to. Until then, the market will just follow Cisco's lead, hoping that their record will hold. PS My personal belief is that Cisco did make the right choice (as evidenced by Nortel's white hot optics sales), but backasswards journalism like that really makes me hot. Sometimes it seems journalists don't use their brain.