To: crs who wrote (220 ) 11/30/1997 7:39:00 PM From: elk Read Replies (3) | Respond to
crs, I think you had better rethink FTEL. It's going to die? Not on your life. Last April/May IDTC was trading about 4.25. It made the move up to 20 in Oct. on the strength of what? Net2Phone? Isn't that PC to Phone? Not Phone to Phone? I know that's half of their story, but it's a half that does not have the future of Phone to Phone. Who supplies the gateways to all of the companies of the world who will utilize I.T.? The answer is no one yet. WorldCom, GTE, etc. haven't decided whose they will use. When they do those companies will make IDTC look like kindergarten. Maybe FTEL will not be the choice of these companies, but if they are, the story is over. Based on the growth IDTC was able to experience from their very limited areas of business, makes FTEL look like instead of the mid-20's, it will be in the mid-30's in 6 months. Where do you think IDTC will be trading in 6 months? If everything goes well, they may be in the low 30's. You keep talking about the amazing amount of minutes being sold by IDTC. What's their profit margin on .18/minute calls? Once the competition starts undercutting those rates, there goes their slim profit margin and they could conceiveably lose money. What percentage of the business have they truly cornered? Very little. Are these business minutes or are they sold to indiviuals? If they are not business minutes, they face a long up hill climb trying to change the psychology of at home dialers. The real money is in the business to business calls. What ATM capacity does IDTC have? How are their satelites technologies fairing? What capacity do they have to deliver DVD, movies, and high bandwidth apps? What services are they offering, besides a phone call? Do they have find me, follow me, fax services, video conferencing, voice mail, mesaage forwarding, or quality adjustment for their calls while they are in process? IDTC may have a very slight early lead in minutes, do not count on that to be the whole shooting match. If you do you may miss an opportunity to make some very nice profit on other IT stocks. If you close your eyes and beleive your the only game in town, you will cost yourself in the end. Keep an open mind and try not to let emotions cloud your investing. This is not a flame, just a differing opinion.
