Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : LAST MILE TECHNOLOGIES - Let's Discuss Them Here -- Ignore unavailable to you. Want to Upgrade?

To: MikeM54321 who wrote (2040)	9/18/1998 1:47:00 PM
From: MikeM54321	Respond to of 12823

Thread, Here's an excerpt from Newbridge Networks 1998 10-K. It pretty much sums up how hard it is to invest in the traditional telecom suppliers. I have to hand it to NN. They lay it right out there (see last sentence). MikeM(From Florida) ____________________________________ From Newbridge Networks July 10th, 1998 10-K: Growth in sales in fiscal 1998 compared to fiscal 1997 were due to an increase in sales of products based on packet technologies for both wide area and local area network applications. The proportion of product sales from products based on packet technologies for wide area network applications was approximately 45% in fiscal 1998, approximately 30% in fiscal 1997. Product line enhancements and new product lines introduced in fiscal 1997 and 1998 resulted in increased sales, predominantly through increased acceptance and demand by carriers throughout the world for the Company's asynchronous transfer mode (ATM) products. Sales of circuit switched networking products in fiscal 1998 declined 17% relative to sales in fiscal 1997. The decline was a reflection of a decrease in sales of the Company's circuit switched networking products in Europe and Latin America and declining business levels in Asia in the last half of fiscal 1998. Sales of these networking products have been and are expected to be subject to potential declines and quarterly variability as customers throughout the world increasingly adopt packet technologies. The Company expects the proportion of sales derived from products based on packet technologies to continue to increase relative to sales derived from circuit switched networking products in fiscal 1999 when compared to fiscal 1998. As a result, sales growth may be reduced due to longer sales cycles often associated with the adoption of new technologies.