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Technology Stocks : Alphanet Telecom, WOW ! -- Ignore unavailable to you. Want to Upgrade?

To: RBMac who wrote (74)	1/28/1998 7:09:00 AM
From: Trader Bob	Respond to of 117

good volume yesterday, of which a cross of 42800 done. Nice to see there is good institutional interest. Chart looks like good support with a short term jump to 18 1/2 - 20 1/2 likely.

To: RBMac who wrote (74)	2/1/1998 6:38:00 PM
From: wynn quon	Read Replies (1) \| Respond to of 117

More brokerage opinions, and some info on the Investor's Digest article: If you go to Yahoo's financial page (quote.yahoo.com), type FAX.TO and submit it, followed by clicking on "Research", you'll bring up Zack's summary of broker recommendations on the stock. For Alphanet, it shows 1 strong buy and 1 strong sell! The Investor Digest article is dated January 16, 1998, written by Ghose and Mitchell of HSBC James Capel. An interesting quote from the article is: "For an investment of only US$125K, Alphanet can route 12 million minutes per year". Unfortunately, so can anyone else. Two 24-channel T1 spans could handle 12 million minutes of outgoing voice over IP traffic. You need an IP telephony gateway and enough incoming trunks for the voice. That's it. (oh yes, you need to assume that the quality of service is on par with switched voice). The point the article misses is the cost of attracting the customers that will make those 12 million call minutes. I don't know what that number will be but it'll be more than $125K... The bottom line is that the economics of the voice over IP market is likely to be the same as the Internet access market. Great for consumers but not particularly good for those selling it. Usual disclaimers apply...