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Technology Stocks : PairGain Technologies -- Ignore unavailable to you. Want to Upgrade?

To: pat w. who wrote (23980)	6/2/1998 3:40:00 PM
From: Johnathan C. Doe	Read Replies (3) \| Respond to of 36349

Why is PAIR down so hard today? The reason that the Sprint announcement has hit this issue so hard is that by Sprint selecting Cisco, a networking company to be the supplier, it is a signal that we have in fact made the shift away from the out of date old switched telco system for real. The Telecommunications Act has seemed to not have led to an opening of competition, but that is all very misleading. What is really happening is that the RBOC's will in fact be replaced over time by new IP based voice computer network systems. The Sprint announcement indicates that new players will side-step the RBOC's. Companies like PAIR that have all of their expertise in the old system will be destroyed over time by Cisco and other large networking companies that will become the new communications providers. Look at how much Winstar is up today for example. If anyone had sense, they would see that its time to move to the new players like QWest. It is not just the win of Cisco that is alarming. What is really alarming is that the thinking up to today was that the networking companies wouldn't be making inroads for years. Now all of a sudden, the investment community; dense when it comes to change in technology, sees that it is months, not years. For the country and the world, the shift to IP based voice and data is a God-send. Over time, these new networks will be able to provide bandwidth and speed that the switched systems just couldn't keep up with no matter how much money was spent. This is the big wake-up call; all of this has changed.