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Technology Stocks : Nortel Networks (NT) -- Ignore unavailable to you. Want to Upgrade?

To: The Phoenix who wrote (9421)	1/24/2001 2:04:09 PM
From: Stock Farmer	Read Replies (2) \| Respond to of 14638

Gary - I am feeling brickmarks on my forehead. I'm sure you feel the same. Neither of us "knows" how NT recognizes revenues. You say by product line, I say by customer segment. I think that NT is organized by customer segment, recognizes revenue by who "owns" the sale (to ensure customer gets an unbiased optimum solution from the company, rather than a visit from the sales guys of each competing product group) I think NT is further internally organized by product groups reporting into the customer segment that dominates demand for the product, plus or minus the turf wars that inevitably lead to suboptimal cleaving. Sales of product across business unit gives rise to "intersegment eliminations". Check it out. I'm not an NT employee, neither are you so we can speculate all we want. Tomorrow they may reorganize and it will all be different so perhaps it's moot. NT sold 8% more this year than last year of a broad range of stuff to several thousand companies of 100+ employees. This we can agree is a fact. What we will probably never agree upon is how to reconcile this against NT losing "market share". I contend it's a fools guessing game to try... Market share, of what, PBXs? How big is that market, and how big is the PBX contribution to NT's Enterprise revenue? Of edge routers? How big is that market and how big is the contribution to NT's Enterprise revenue... and so on and so on and so on. Enough said. As far as I'm concerned you may guess away all you want. John.