To: Bruce Hoyt who wrote (29002 ) 2/27/1998 7:09:00 PM From: Lee Bush Read Replies (1) | Respond to of 41046
Bruce and all: Very succinct summary. I might add the interesting fact concerning the WCOM contract. Frank foresaw the possibility that some would perceive the tempest as draining off normal long distance revenues from WCOM. That could have led to them asking FTEL to pull the equipment back out again. So, before the contract was finalized, Frank talked to the number 2 guy at WCOM and got a commitment that such would not happen. It is included in the contract. Actually, subsidiaries of WCOM are competing with one another for the tempest business, which Frank seemed to find amusing. Concerning the new Tempest Cyclone fax, they claim that this is the first and only "IP" format fax server. Concerning margins, Frank stated that their lowest margin on any product was 62 percent. Some of the older equipment still provided to customers yields 90 some percent profit margins. Concerning the management of FNET, the top two will be outsiders. That selection process is now in progress. After the Tempests fax news item next week, I would guess we will see a NASDAQ listing announcement the next week. Peter Thornton summarized the marketing plan: Three main areas of concentration, Int'l telephony market is number 1. Isp's is number 2. Smaller ISPs, plus some larger ones in the sights. In addition to hardware sales, they have 'converted' several ISPs to the FNET network. Number 3 marketing target are the large corporations. Many are testing the equipment, but no firm commitments yet. He is 'very optimistic' that the company can see positive earnings soon. Here are some sites using FTEL software stream and flash audio clips: http://www. and the below: lifelines.com segasa.com vegauniverse.com gametv.com clubvega.com. Start off with this one: vegauniverse.com FNet software tracks users accessing sites to as many as 10 subscreens. This proprietary software is also a first for the industry. Lee