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Technology Stocks : Westell WSTL -- Ignore unavailable to you. Want to Upgrade?

To: SteveG who wrote (8736)	1/3/1998 2:17:00 AM
From: Trey McAtee	Read Replies (3) \| Respond to of 21342

steve-- i didnt misread your post. i was referring to your past comments that you did not think DSL would be deployed if the telcos had to unbundle the loop. as for the court decision, it will be modified, but not likely overturned. the telcom act of 1996 was unfair to the RBOCs. besides, and this is something i dont think you get yet, high speed services are the future for telecom. if they dont want to be a part of it, then they will do nothing and let cable takeover. IMHO, i dont think that is going to happen. now, to be honest, all this is moot. you said they would not be likely to deploy DSL if they had to unbundle the local loop (no not specifically, but in general this is what you said). my poin tis that they will have to deploy to stay in business period. now, as for eating up T1, i know i dont understand what an awesome and complex business model they have<G>, but let me give it a shot, then maybe the little light bulb will come on over your head. right now you have your customers getting lines so they can use the internet. these lines are voice lines. using them for long periods of time tie up your voice network. plus the ISPs are getting a free ride on your back. now, with ADSL, you get to charge for new installation of equipment, for the equipment itself (in some cases, or in a rental agreement...even more profit!!), plus you get close to double the what you used to charge for the line, you also begin the upgrade of your network to a more advanced architecture(something you have been planning to do for a while) and you get to hurt the ISPs. whats so complex about that? oh, but then there is the business customer who uses T1. he might switch to ADSL, right? wrong. for a symmetric connection at 1.5Mbps, you are probablhy going to pay close to what you pay now for T1. so, you get all these new residential users and you get to bury the small scale ISPs. not a bad deal. the tarriffs are set to be decided within the next couple of weeks if i remember correctly. as for other regulatory issues like universal service and reliablity, there is RADSL. plus, the RBOC voice network is still intact so unless universal service is ammended to include digital comm, it isnt an issue. the bells have stated that the issues you bring up repeatedly like crosstalk and other interference are either solvable or unimportant. of course you have a plethora of researchers who say otherwise. did it ever occur to you that they are the ones on the outside looking in? now, as for market share, the only ones i know of right now that actually have some are ALA, then WSTL, and then PAIR. i dont think any of the other telcos are deploying equipment from any other maker like 3COM or rockwell. as for the ISPs, they have a very short lifespan. the bells will crush the small ones and make deals with AOL and the larger ones. so all these sales of DSL modems to ISPs are based on their hopes of becoming CLECs. good luck<G>. good luck to all, trey