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Technology Stocks : Stratex Networks, Inc. (STXN) -- Ignore unavailable to you. Want to Upgrade?

To: Czechsinthemail who wrote (1506)	12/12/2002 1:42:58 PM
From: Rob Preuss	Respond to of 1762

Hi Baird, I can't give you any numbers regarding the size of the unlicensed market. However, I do NOT expect this to be a big source of new revenue for STXN... at least not directly. Instead, I expect that this will serve to make STXN a more attractive vendor to potential customers. Existing customers may have a few niche needs to fill and no longer have to go to unfamiliar sources. New customers that are just starting out in the unlicensed bands will like establishing a relationship with an experienced vendor who can meet their future needs as well as their present needs. So I expect these new products for the unlicensed band will help expand their customer base and will lead to sales of products for the licensed bands as these new customers grow. I think STXN is becoming to the digital radio market a little like IBM was to the PC market back in the 80's. All IT managers bought their PC's from IBM... it was a no brainer because you knew you were getting a quality product from a company that would (and could!) stand behind it - unlike all the little fly-by-night vendors. The main competition that STXN has these days is from the big equipment manufacturers for whom digital radios are merely one department among many. In this arena, STXN just needs to remain among the lowest-cost producers so they can always offer their customers a superior value; and they need to maintain/expand those OEM agreements so that they can get in on the big deals that involve lots of equipment other than digital radios. Its true that STXN's share price won't take off until sales take off... and predicting when the latter will occur is difficult at best. For now, I'm pleased that the market seems to have stabilized and I'm keeping a sharp eye peeled for price dips to buy on. Rob