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Technology Stocks : TLAB info? -- Ignore unavailable to you. Want to Upgrade?

To: John Carragher who wrote (6505)	2/13/2000 6:02:00 AM
From: Marketeer	Read Replies (1) \| Respond to of 7342

Slow moving Tellabs should thank God that they aren't located in Silicon Valley. Tellabs is an Old World company caught in the 10X shift to the New World. All of a sudden, its products (TDM based cross-connects) is perceived as being obsolete. Don't get me wrong, I don't believe they are so, at least not for a few years anyways, although the growth will definitely slow down. Their problem is that they can't seem to create any new compelling products. TITAN 5500, 532L and MartisDXX are their cash cows. Can they made the transition to the New World with new products? That's the question Wall Street is focused on. Their time to market is terrible. Their saving grace is that the deliberately moving RBOCs are still big customers. How long will that remain the case? I know all about the new products. (Don't ask me how.) They are marginal at best. Remember, Wall Street always knows more about any given company than outside investors. Compare SCMR to TLAB. About the same valuation. SCMR's revenue and earnings (or lack thereof) are not even in the same league. Yet Wall Street values SCMR the same as TLAB. That should tell you something about their confidence in TLAB. Their action speaks louder than words (recommendations). By the way, the article you posted has a major error in it. Lucent never resold any TITAN systems under their own brand name. Tellabs will never permit that. Shows how much the author knows about Tellabs and telecom in general. Disclaimer - I have no position in Tellabs, and don't plan to take one. Marketeer