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 : Ciena (CIEN) -- Ignore unavailable to you. Want to Upgrade?

To: FJB who wrote (12563)	3/5/2014 4:41:38 PM
From: Johnny Canuck	Respond to of 12623

I think the challenge is that there are no aggressive built outs by the carriers at this time. As a result CIEN has no pricing leverage. Despite the increased demand for bandwidth due to media related products the challenge is consumers are not willing to pay much for the resulting media services. As such margins are low and carrier would rather manage these existing capacity better because corporate customers are not growing their revenues and in income exponential. In fact the carriers are even throttle down access to specific high volume data users on the consumer side as the unlimited data plans are too costly for them to support and new infrastructure build outs are expensive.