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


To: Bryce Elkins who wrote (2633)6/17/1998 11:18:00 AM
From: TraderEd  Read Replies (2) | Respond to of 11568
 
<<Not only does does WCOM get the money, but they could re-establish their Internet capacity sold by MCI with more advanced technology, no doubt higher capacity and cheaper per some relevant resource unit per dollar.>>

This is what really excites me about the deal. Not only do we get to re-establish new internet facilities with all new technology, but it also eliminates the possibility of any over-lap of internet facilities in the combined company. MCI goes into the merger with none. Also, the sales price provides the money to do the expansion. With the price trends in technology, we will get more bang for the buck. This way, WCOM/MCI can fill in any existing holes in the WCOM internet and build/add to it for the future growth. It would seem to me that this makes the integration process much easier as you are buying all new equipment and can schedule where and when it is to be installed.

it would seem to be the best of all worlds. Only negative I can see is the delay of building new facilities. However, this will be overcome with the advantages of new equipment where you want it.
Anyone disagree??

Regards,

Ed