To: uel_Dave who wrote (6384 ) 2/9/2000 7:35:00 AM From: uel_Dave Read Replies (1) | Respond to of 13582
OT: Canadian Wireless stocks surge 20 per cent RIM rises on news of supply agreement TYLER HAMILTON Technology Reporter Wednesday, February 9, 2000 From Globe and Mailglobeandmail.com Wireless stocks continued to grab the attention of investors yesterday as Research In Motion Ltd. and a handful of other Canadian stocks in the sector surged by more than 20 per cent. Waterloo, Ont.-based RIM rose 21 per cent or $31 yesterday to $180 on the Toronto Stock Exchange on news that the maker of the Blackberry two-way pager -- which lets users send and receive e-mail while on the go -- had inked a supply agreement with Salomon Smith Barney. The investment firm, a subsidiary of Citigroup Inc., plans to deploy 2,500 Blackberry devices and related computer server software within its various financial service groups across North America. "The fundamental position of RIM hasn't changed in the last two months, but the awareness of its potential has," said RIM chairman Jim Balsillie, adding that this awareness has spread throughout the industry. "You're seeing very exciting startups who are truly getting a remarkable reception in the market." RIM now has a market value of $12.3-billion. Calgary-based Wi-LAN Inc., another familiar name in recent months, saw its stock soar 38 per cent or $18.80 yesterday to $68 on the TSE. Two other Calgary-based companies -- Cell-Loc Inc. and little-known Communications Systems International Inc. (CSI) -- rocketed 20 per cent and a staggering 82 per cent, respectively. "The market is buying on the future," said David Wong, an analyst with Canaccord Capital Corp. in Vancouver. "Wireless is really the medium that's going to be growing the fastest . . . and the market is braced for it." Both Cell-Loc and CSI develop technologies that use either wireless networks or Global Positioning System (GPS) satellites to track the location of mobile phone users, automobiles and other assets -- an area that analysts say will drive the market for wireless data applications in the coming years. "Location-based services are the killer application," Mark Zohar, a wireless analyst with Forrester Research, wrote in a recent report. CSI said yesterday that it has a patent pending for an automotive antenna technology that would allow car manufacturers to install highly accurate GPS services -- for example, theft detection and mapping services -- in their new vehicles at a low cost and without requiring an additional antenna. "The automotive market is a huge opportunity for us," said Brian Hamilton, executive vice-president and co-founder of CSI, adding that the company has been in talks with Ford Motor Co., General Motors Corp. and DaimlerChrysler AG over the past two years. "They each have their own common sources for electronics for their cars, so we're working on avenues to be able to team with their partners." Other big movers yesterday included Infowave Wireless Inc. of Burnaby, B.C., whose stock jumped 30 per cent or $9.40 to $40.95 on the TSE, and Toronto-based wireless equipment maker Unique Broadband Systems Inc., which increased 27 per cent or $3.05 to $14.15 on the Canadian Venture Exchange. Montreal-based SR Telecom Inc., meanwhile, has jumped 48 per cent in two days to $8.70. The maker of broadband wireless-access products announced a three-year supply contract yesterday with Axtel SA de CV of Mexico for more than $100 million