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Technology Stocks : RCN Corp. (RCNC) - Voice-Video-Internet -- Ignore unavailable to you. Want to Upgrade?

To: gruetz who wrote (653)	10/5/2000 2:21:42 PM
From: lml	Read Replies (1) \| Respond to of 720

RCN is not a incumbent franchised MSO; it is an overbuilder. Therefore, its revenues are tied to how much market share it grab from the incumbent MSO. Metaphorically, instead of being on the inside looking out, RCN is on the outside looking in, and therefore will valued and judged accordingly. The burden is upon RCN that it take away market share from the incumbent MSOs, while both fend off competition from the DBS providers for broadcast content, as well as the telcos for voice and high-speed data. IHMO, RCN must pick & choose there turf carefully. It must allocate its resources cautiously, not to overextend themselves, but also not to leave any crumbs on the table that won't be around in a year or two if they don't act now. Its a balancing act, and its a very tough business. Now compare a projected cash flow for RCN over the next few years with that of TWX or CMCSA or Cox. Perhaps, now, you get the picture.