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Technology Stocks : Frank Coluccio Technology Forum - ASAP -- Ignore unavailable to you. Want to Upgrade?

To: ahhaha who wrote (445)	11/24/1999 12:16:00 PM
From: Frank A. Coluccio	Read Replies (1) \| Respond to of 1782

Prior to the restoration effort they were not able to get information (411) and in some offices they had delayed or no dial tone. Testing these qualities are a normal first reflex when service providers lose a whole slew of routes, all at once, as an eery silence ensues. A very basic means of determining that POTS was coming up all around them was to simply pick up the phone and attempt to access these services. Yes, your questions are well formed, if for no other reason than to illuminate the issue and to demonstrate the state of mind of the ILEC spokesman/release by ignoring any impact to the 'net sector. "How can POTS have service tier priority?" Very simply, dial tone is still king. Both to the ILEC and to most end users. And to the PUCs. Which would most users rather be without, given the choice? The overwhelming majority will always choose to have dial tone over Internet access, which is a kind of reverse-oxymoronic statement if you think about it, since most users cannot have 'net access without dialtone to begin with. But it further proves the point. But at the higher tiers of service, deeper into the respective clouds, they would rather go without 'net access than dialtone, where residentials are concerned. But even this would also depend on circumstance. If it's a business we're talking about which depends entirely on the 'net being up to stay afloat, as opposed to a residential situation, then they would choose the 'net. A second reason for POTS taking priority is that the ILECs get measured by the PUCs, and more importantly it could be argued, by public opinion, on their dial tone performance. There are dozens of dial tone indexes which, at the end of the day, get reviewed when rate requests are being examined at the PUC levels. Sometimes these lead to rebates to users when they are not met. No such metrics exist for their ability to meet ISP needs. This has been demonstrated recently by the reporting mandates at the federal level, where it is mandatory to report outages affecting 50,000 or more POTS subscriber lines, but where hundreds of thousands of 'net users go unreported, all under the guidance and sanctions of the FCC and the NTIA.

To: ahhaha who wrote (445)	11/24/1999 1:57:00 PM
From: Frank A. Coluccio	Respond to of 1782

re: T's cable & wireless tribulations & maneuvers; and a new tracking stock Here's one for you, Doc. I picked it up over on the LM thread, thanks to Jeff Hayden. washingtonpost.com On a related matter, I find it ironic, if not somewhat amusing, that T --after spending over 100Billion [with a B] on their relatively new cable initiatives-- would now find it advantageous to create a tracking stock on their "wireless" offerings. www2.marketwatch.com "--10:18 am AT&T has decided on tracking stock, WSJ AT&T Corp. (T: news, msgs) is adding 2 1/4, or 4.4 percent, to 53 3/16. The stock is currently the leading percentage gainer among the components of the Dow Industrials ($INDU: news, msgs). The company has reportedly decided to issue a tracking stock for its booming wireless business, including its fixed-wireless assets. According to the Wall Street Journal, the decision to include the fixed wireless technology is significant, and reflects AT&T's growing confidence it can use the medium as an alternative to cable-television lines as it attempts to provide local-telephone service nationwide. The stock soared 12 percent Monday when analysts first said the tracking stock was likely. After it closes its pending acquisition of MediaOne Group (UMG: news, msgs), AT&T will own access to about one-third of the nation's homes, and AT&T intends to use fixed wireless to reach many homes that it can't reach via cable, the Journal reports." Is this a belated revelation on their part that perhaps they spent a ton going after an old dog in the bush, only to find a much better value in their bird in the hand? Comments? Regards, Frank Coluccio