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Technology Stocks : Winstar Comm. (WCII) -- Ignore unavailable to you. Want to Upgrade?

To: Bernard Levy who wrote (3541)	1/24/1998 5:51:00 PM
From: Steven Bowen	Read Replies (1) \| Respond to of 12468

Thanks Bernard, I understand and agree with your concerns. I'm trying to find the best starting point for valueing these licenses, and as long as you say you generally agree, I'll assume we're at least at a decent starting point. Any valueing of a house at least starts with square footage. Now, let's get on with the auction. Thank's for your input, Steve

To: Bernard Levy who wrote (3541)	1/25/1998 1:58:00 PM
From: SteveG	Respond to of 12468

<..What I am trying to say is that the LMDS auction should not necessarily be viewed as a precise measure of dollars per bandwidth, but of dollars per services offered...> I agree mainly, but would allow that the obvious bandwidth dependant FUTURE services will likely play a role in valuation. If I were a CLEC, I'd certainly place a premium on greater capacity. <..Both WCII/TGNT and LMDS bidders face also an element of uncertainty, namely the possibility of future auctions in the 39GHz band....> I saw this schedule for 3Q98 at the FCC homepage fcc.gov but don't know much about it. A search of SI shows that you seem to be the sole poster on this spectrum. Any insights? Think this spectrum could eventually go to the cash rich RBOCs, putting a significant crimp in WCII's current lead? <..By the way, concerning Vogel's comments that the LMDS auction could be either postponed or voided, the postponement migh occur, but is not likely...> Well, with the recent Texas ruling, the RBOCs have likely filed for an injunction to the auction until they get to play, and will likely file suit if they don't. <..On the other hand, the voiding of the auction would be an extraordinary decision that a federal court would be unlikely to make (in essence, it represents a judicial intervention in federal commerce)...> Well, if the Texas decision is accurate, the parts of the Telecom act which prohibit RBOC participation have been ruled unconstitutional. That's a pretty significant ruling in itself, and would be the basis of any follow-on suits. We'll see tomorrow if the Supreme Court denies the review of the St. Louis appellate decision Message 3249232 <..So if the auction takes place, expect that its results will stick. It would be more likely that the court would order the FCC to include RBOCs in future auctions, or even to conduct a special make-up auction (say with 39GHz licenses)...> I'm definitely interested in hearing more from you about the 39Ghz dynamics and politics. And what about 32-37 and 40+Ghz? Are these auctionable? And what about their transmission characteristics? I'm definitely looking for as much of the bear story/red flags as I can find. Thanks for your insights. Steve