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Microcap & Penny Stocks : PLFM - Undervalued with great potential -- Ignore unavailable to you. Want to Upgrade?


To: JoJo who wrote (2373)5/12/1998 12:53:00 PM
From: burns29  Read Replies (3) | Respond to of 9096
 
This is my first post :) I have been a lurker on SI for a while. this discussion is what prompted me to join. I have worked in the International telecom industry for 15 years. I have several factors to relate as to my reasoning for buying PLFM. IMO International economic developments are influenced by 2 major factors - Money and Communications. In regards to money the Brazilian Real has been stable enough to bring International investors back to their country. Real/USD .75 1/2/98 - .77 5/10/98. Brazil has vast natural resources waiting to be developed (mostly at the expense of the rainforest). The remaining barrier to increased economic development is communications. I have seen significant increases in capacity demand for Brazil. British Telecom, Deutch Telecom, Cable and Wireless and Global One are only a few "big" telecom players putting voice/data switches, Undersea cables and satellite carriers into Brazil. With increased International capacity comes a logical need for Domestic capacity.



To: JoJo who wrote (2373)5/12/1998 1:12:00 PM
From: burns29  Read Replies (1) | Respond to of 9096
 
To continue on my discussion about domestic capacity. the trend is to deploy wireless communications in new regions. The cost of deployment is significantly less than a hardwired solution. However, with ground based cellular systems you still need a wired infrastructure for repeaters with limited geographical capabilities. Communication with/to companies field operations in remote sections of Brazil has proven very expensive. Currently most companies are using solutions like InMarsat (Marine Satellite) to maintain communications with the field. This is a very costly and limited solution. Deployment of cellular repeaters to remote regions of Brazil IMO does not make economic sense. THe "big" telecom solution is LEO (Low Earth Orbit) Satellite. One such system is called "Iridium". This system is still not operational and when it does the terrestrial gateway (Wireless to Wired) will not be in Brazil. With PLFM the gateway will be in Brazil allowing revenue generation by Brazilian domestic switches. Fast deployment, low cost of operation, domestic revenue generation are factors which benefit Brazil. If PLFM management operates efficiently and doesn't commit any fatal mistakes. Their potential is significant.