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 : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: mrclinton who wrote (55923)	10/14/1998 5:24:00 PM
From: The Phoenix	Respond to of 61433

Mrclinton, Thanks for your comments. All very good points. I can see how the ALA/ASND partnership, in theory, could be valuable to international carriers. I have worked with a number of international carriers and there are two key things I've noticed they look for: One, they like doing business with local companies - or at least companies that have a significant investment/presence in the local market. ALA certainly has this - at least in Europe...not so much in Asia. Two, the like to have local expertise on the products they install. So, the degree to which ALA is able to support ASND products in these markets will be key. In the end if ALA is successful at doing such, then the telco's are very happy...and as you put they can stop dealing with that menace CSCO. Now, I'm going to assume your bitterness towards CSCO is in reality a demonstration of your disgust for me. I believe CSCO does have good international presence and a strong support organization...although I don't have any first hand knowledge. They have offices nearly everywhere though and they continue to generate strong revenues internationally. Furthermore they are stong in with international carriers...perhaps mainly due to ASND's lack of presence in the past. One thing however that I continue to point to that I think you have side-stepped. That is, is this ALA/ASND situation good for ASND - that is the fact that ALA will be doing the selling of ASND products into telcos. In effect ASND is enabling ALA to gain market share internationally and potentially giving them access to domestic markets. It is my opinion (given what I know about these dynamics that this is a dangerous position for ASND since ALA can, at any time, decide to build or buy their own. Again the Packet Engines acquistion comes to mind. Yes, ASND might get a short term revenue boost but it'll be interesting to see if ASND get's exposed to new customers or if they are "buried" in the ALA solution. Anyway, I appreciate your comments. Sorry you feel my posts are corporate propaganda - they are not they are only my opinions based upon what I know. Again, you can ignore them if you like. OG