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 : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Victor Lazlo who wrote (60066)	6/28/2002 4:08:45 PM
From: RetiredNow	Read Replies (2) \| Respond to of 77400

Victor, it's true that everyone is in trouble nowadays. But you really don't have to be an accurate prognosticator to see the writing on the wall. Video on Demand is already happening today. Bandwidth consumption will continue to rise. Video over IP is already happening and will continue to take over share from analog delivery methods. I'm not sure what you are trying to tell me. If you think that video, voice, data convergence over IP won't happen, that's pretty short sighted. That's like someone way back when saying that Television won't change the world. The Internet is still changing the world day by day. It's not as glamorous as it used to be, but fundamental changes are still taking place at an accelerating rate. What happened over the last several years was crazy and it will delay realization of the full benefits to consumers in the short term due to the heavy debt burdens that these service providers now face. However, it will happen nonetheless because the demand is there. It just has to be tapped. Don't believe me? Well, just look at Time Warner Cable's iControl Video on Demand. It's just as good as Blockbuster, but cheaper and you don't have to go to the store to get the video or worry about late charges. Would you rather watch A Beautiful Mind using VOD for $3.95 or would you rather get in your car, drive to Blockbuster, rent the DVD for $4.25, watch it at home, then remember to take it back on time. Well, I'm sure your answer is the VOD route as any sane person would choose. It's cheaper and more convenient. That translates into more demand. If Time Warner ensures they get the latest movie releases as quickly as Blockbuster gets them, then their installed base of customers can easily be stolen from Blockbuster. They already stole me for Beautiful Mind and Blackhawk down. Get them too me sooner and in more variety and I'll never visit Blockbuster again. All this will eat up bandwidth like no other application on the Internet today. That means more demand for Cisco's equipment. These are easy profits for the Cable companies now that they have digital services, so the cost justification is there. So yes, it's going to happen. Not as quickly as we all thought before, but it is and will continue to happen.