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Technology Stocks : PSIX up 26.5%, Takeover(?) -- Ignore unavailable to you. Want to Upgrade?

To: wtett who wrote (1942)	1/28/1998 2:26:00 AM
From: bob zagorin	Read Replies (1) \| Respond to of 5650

right on wtett. anybody can be a critic. look at the geniuses at nscp, asnd, aapl etc. we all tend to forget that what really changed the ISP business back in the spring of 96 was the flat rate $20 pricing and the entry of AT&T, MCI et. al. Wall Street dropped all the ISPs snd even mighty AOL like a hot rock. UUNT got a big premium from a very depressed price probably because they had MSFT as a client as well as a good infrastructure. To me, PSIX changes represent reasonable choices even with benefit of hindsight. They still may prove out over long haul despite the critics. concentrating on higher margin business clients still seems right; expanding and upgrading the network internationally although they had a problem with their european partner. I also think some of their institutional backing (Amerindo) got forced out due to some non-psix stock problems. anyway, psix is a show me stock for the analysts but it's right in the middle of the telco-clec-isp convergence and, if the right company decides to move in that direction, they'll get a good offer. they might even get a couple competing bids.

To: wtett who wrote (1942)	1/28/1998 9:18:00 AM
From: HVN	Read Replies (2) \| Respond to of 5650

Thanks for your reponse. I wasn't been judgemental about the management. I was asking for an opinion. However, from the little I have learnt about the company, I just get the impression that they basically took the wrong route. That's OK! A lot of companies do that in the early stages of an industry. The MCIs, BBNs and AT&Ts started offering low cost access ages ago. What my issue/concern is that PSIX management took so long to realize it and then pull back before charting a new course. This wouldn't be an issue in a slower industry, however, given the industry PSIX is in, and the amazing advantage they had of being one of the backbones of the internet, if you don't/can't adapt quickly (and by quickly, I mean faster than they appear to have), you get killed. THAT's almost ALWAYS management's fault. Isn't it? I work in a large corporation in an industry that has grown at about 40% annually for the past 15 years and is getting hyper competitive. Even though our compeititive and industry gathering efforts are rather limited, we still know what is required of us to survive. That's all I would expect from PSIX's management.