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 : Next Level Communications Inc. (NXTV) -- Ignore unavailable to you. Want to Upgrade?

To: Rob Pierce who wrote (92)	9/7/2000 9:25:30 PM
From: Rob Pierce	Read Replies (1) \| Respond to of 131

40% cost reductions wanted Nacchio talked about reducing costs per subscriber by 40% to try to make VDSL provide the same return as DSL and wireless. Many of the dim bulbs on Yahoo seem to have overlooked the per subscriber detail and are moaning that NXTV is going to have to slash prices by 40%. NXTV won't be cutting those costs all by itself. Getting those kind of reductions is going to require some real cooperation and head-noshing between Q, NXTV, BRCM, and CXNT. He's thrown down a challenge to the engineers. If the lot can meet the challenge, then they'll all win big. Q would have the largest deployed and best engineered Video over DSL plant in the world. That will let them take on Big Cable with greater ease, and potentially give them muscle to take their expertise and deploy in other areas around the country. NXTV would have a larger showcase customer, with a proven and less costly product. That will allow them more leverage in attracting further telecom customers to their Video over DSL solution, and solidify their leadership in this space. Nacchio said at the tail end of his interview with Faber that the cost reductions were "not my problem", but it still struck me as more of a challenge, and not as a threat. He's provided the vision. Now it's the en-gun-eers that are tasked to make it happen. That's leadership my friends. I've not known Nacchio until today, but I think I'm beginning to like him. I think this is gonna be a case of what's good for Q will ultimately be very good for NXTV. RP