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 : Voice-on-the-net (VON), VoIP, Internet (IP) Telephony -- Ignore unavailable to you. Want to Upgrade?

To: Stephen B. Temple who wrote (1971)	11/20/1998 7:39:00 AM
From: Kenneth E. Phillipps	Respond to of 3178

Some interesting thoughts for telecom investors on VoIP - from Price Waterhouse Coopers. <far more revenue can be expected to come from integration and value-added services in data communications than from transport and access.> Will the 'Bad' Technologies Win? Posted November 16, 1998 04:00 AM PST Why do bad technologies win? Recent research suggests that technologies that perform poorly for mainstream applications may find attractive niches. These technologies evolve over time and eventually, and surprisingly, supplant the traditional technology value stream. These technology upstarts have been termed "disruptive technologies" in recent work by Clayton M. Christensen, author of The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail (Harvard Business School Press, 1997). A disruptive technology is one that has been around for a while; that does not meet the needs of mainstream customers in a market, but finds a niche and evolves, improving over time; and that eventually challenges the market leaders. This article explores whether IP telephony could be a disruptive technology. Remarkable improvements have occurred in voice over the Internet and especially over IP-based private networks, and these will continue, improving the quality of IP telephony. But the share of the voice market claimed by Internet service providers, though growing, is not significant-various analysts predict worldwide revenues for IP telephony service providers in the neighborhood of $2 billion to $8 billion in five to six years (by comparison, standard telephony service worldwide drew revenues of $495 billion in 1997, according to the International Telecommunications Union, which predicts total spending of $850 billion by 2005). Overall, in addition to regular IP telephony, data traffic is exploding, doubling yearly on public switched networks and increasing 1000% annually on the Internet. But this isn't driving corresponding shifts in revenue; access and transport revenues for data are expected to rise only modestly, from 10% in 1998 to just 13% to 15% in 2003. As the chart below illustrates, over the same time frame, far more revenue can be expected to come from integration and value-added services in data communications than from transport and access. The data world beckons with opportunity, and there lies the incumbents' dilemma: how to play a key role in this exploding data market. Growth in Service-Related Revenue from 1998 to 2003 (US$ Billions) Most of the data communications value creation may take place outside the network. Source: PricewaterhouseCoopers, analyst estimates ___________________________ For more information or a complete copy of The Innovator's Dilemma for the Telephony Industry - Will the 'Bad' Technologies Win? please contact the Insider Editor. © 1998 PricewaterhouseCoopers LLP. Use of this service indicates acceptance of the following terms and conditions. Information provided as part of PricewaterhouseCoopers' Telecommunications Insider on the PointCast Network is intended solely to provide general guidance on matters of interest for the personal use of the reader, who accepts full responsibility for its use. The information is provided with the understanding that the authors and publishers are not herein engaged in rendering legal, accounting, tax, or other professional advice or services. As such, it should not be used as a substitute for consultation. While we have made reasonable attempts to ensure the information provided to the service has been obtained from reliable sources, PricewaterhouseCoopers is not responsible for any errors or omissions, or for the results obtained from the use of this information. All information is provided "as is," with no guarantee of completeness, accuracy, timeliness or of the results obtained from the use of this information, and without warranty of any kind, express or implied, including, but not limited to warranties of performance, merchantability, and fitness for a particular purpose. Nothing herein shall to any extent substitute for the independent investigations and the sound technical and business judgment of the reader. Laws and regulations are continually changing, and can be interpreted only in light of particular factual situations.

To: Stephen B. Temple who wrote (1971)	11/20/1998 8:22:00 AM
From: Frank A. Coluccio	Read Replies (2) \| Respond to of 3178

Stephen, It may be interesting to note that due to its early use and exploitation of SS7 technologies, Clarent has been a favored supplier to ATT in T's VoIP overlay. Frank C.

To: Stephen B. Temple who wrote (1971)	11/25/1998 7:56:00 AM
From: Stephen B. Temple	Respond to of 3178

I remember telling someone about Sweden, a POC that was interested in working with ___? <g>. Oh well!! IP Telephony Service To Arrive In Sweden November 25, 1998 STOCKHOLM, SWEDEN,: Hard on the heels of getting Israel's Bezeq to sign on the dotted line for its Ensemble IP (Internet Protocol) telephony technology, VocalTec [NASDAQ:VOCLF] has signed up its second customer, Telia of Sweden, to the technology. The move means that Telia's Net telephony operation, known as Telia Light, will be using the VocalTec Ensemble Architecture (VEA) as the foundation for its PC- to-phone and Web-based call center services, which are scheduled to launch in Sweden next month. The Telia Light service will build on Telia's existing voice-over-IP telephony trial which started earlier this year, Newsbytes notes, and will be available to most Internet users, in much the same way that IDT's Net2phone service is accessible across the Web. Unlike Net2phone, however, Telia has ambitious plans for its Telia Light service, planning to expand its range of services as next year progresses. Officials are not saying what these extended services will be, but Newsbytes anticipates that the firm will launch a phone-to- phone IP telephony service within Sweden next year. Bjorn L Norrbom, Telia Light's president, said that the development of IP telephony technologies over the last year has been extremely fast. Dr. Elon Ganor, VocalTec's chairman, meanwhile, said that major carriers are adopting the firm's Ensemble technology because they need systems that are interoperable and manageable, as well as supporting phone-to-phone and other enhanced services. Plans call for Telia Light's PC-to-phone service to be based on the VocalTec Internet Phone Lite system. From the Telia Light Web site, online users anywhere in the world will be able to download the free Telia Light branded dialer software and sign up for service to start making low-cost PC-to-phone calls from their PCs. It remains to be seen which destinations Telia Light will offer on its IP telephony service, but since Telia has an international network in place, logic suggests that the company will offer an international net telephony service to rival that of Net2Phone. Telia's Web site is at telia.se . VocalTec's Web site is at vocaltec.com .

To: Stephen B. Temple who wrote (1971)	11/25/1998 8:07:00 AM
From: Stephen B. Temple	Read Replies (1) \| Respond to of 3178

After two year appeal, BellSouth finally admits the FCC (in part) is heading in the right direction on Universal Funding. BellSouth Withdraws Universal Service Appeal November 25, 1998 ATLANTA, Nov. 24 /PRNewswire/BACKGROUND: On May 8, 1997 the Federal Communications Commission issued an order establishing the Universal Service Fund as directed by the Telecommunications Act of 1996. The Order defined the parameters of the fund, set up a process for incorporating input from state public service commissions, and set guidelines for the delivery of Internet access and wiring to the nation's schools, libraries and rural health-care providers. On August 15, 1997, BellSouth (NYSE: BLS) appealed the FCC's Order in the Universal Service docket. On February 20, BellSouth filed a joint opening brief with GTE and SBC in the United States Court of Appeals for the Fifth Circuit (New Orleans). The petitioners asked the Court to declare unlawful the FCC's decision not to implement universal service reform prior to 1999 and the FCC's allowance of competition to eliminate funding that comes from implicit subsidies before the establishment of an explicit support mechanism. As of today, BellSouth has withdrawn its appeal of the FCC Order because it believes that most major issues of the Order will be resolved through the regulatory process in place today. The company also believes that, based on extensive research and audit analysis on the education sector business opportunities, and our long tradition of supporting education, it is in the best interest of BellSouth and its customers in the education sector, to withdraw this appeal. The following statement can be attributed to Bill Barfield, BellSouth's associate general counsel: "The plan to withdraw from this appeal is a business decision for BellSouth. While we feel that the reasons we filed our appeal were sound, we believe that the landscape has changed since then. "Universal service represents a changing tableau. The FCC recently adopted a cost model which is a first step in circumscribing the new universal service fund. The Joint-Board acted yesterday to respond to the most recent issues that the Commission referred to their consideration. The results of this recommendation will be another important piece to the universal service puzzle. At the same time, the FCC has taken steps to bring greater administrative efficiency to the schools and library fund and prioritize the fund's purposes. Because of these recent events, BellSouth has decided not to proceed with the appeal of the original universal service order. We will continue to evaluate the new determinations made by the Commission and take such steps as may be appropriate in the future. "Based on these factors, we think that it is in the best interest of our business and our customers to withdraw this appeal." SOURCE BellSouth Corporation /CONTACT: Joe Chandler, 404-927-7420, John Schneidawind, 202-463-4183, both of BellSouth Corporation/ (BLS) [Copyright 1998, PR Newswire]

To: Stephen B. Temple who wrote (1971)	11/25/1998 8:15:00 AM
From: Stephen B. Temple	Read Replies (2) \| Respond to of 3178

Now all they need is money! Franklin's FNet Teams with GTE to Offer ADSL Service; FNet FastLink A Bargain for Business at 25 Times 56K Modem Speed November 25, 1998 WESTLAKE VILLAGE, Calif.--(BUSINESS WIRE)FNet Corp., an IP Telephony and Internet subsidiary of Franklin Telecom Tuesday announced that in cooperation with GTE it has begun installation to provide ADSL service in Southern California. As a participating ISP with GTE, www.gte.com/dsl/partisp.html, FNet's initial area of service will be LATA 5 (Local Access Transport Area), which includes most of Southern California south of Santa Barbara, including the L.A. metropolitan area. Asymmetric Digital Subscriber Line (ADSL) is an established modem-based technology that is now being used to enable a dedicated connection to the Internet that is up to 25 times faster than conventional 56K modems. This technology facilitates simultaneous transmission of voice and data on an existing phone line. ADSL features what is known as "always on technology" which means it provides instant access to the Net with no dialing, no waiting, no busy signals, and no need for a separate data line. At present this service is available to customers within approximately a three mile radius of their central office. According to telephone company estimates, nationwide, approximately 40% of households and businesses meet this criteria with a higher percentage in metropolitan areas. At present, only about 2.5% (representing 20 million subscribers) of telco central offices are conditioned for DSL but because of demand, increasing this percentage is a high priority. According to Frank Peters, Chairman & CEO of Franklin, "FNet FastLink goes a long way toward putting small businesses on a more equal footing with their larger competitors by providing them service which was, up until now, only affordable by much larger companies. Since the outset, FNet has focused on corporate and professional Internet usage, so getting in on the very ground floor of a service with this potential is extremely satisfying. FNet FastLink will bring our customers the fastest available download speeds and position them to take advantage of the many rapidly emerging Internet features such as e-commerce, streaming content and full-motion video." Peters went on to explain, "One key point is that unlike ISDN, which, by the way is much slower than ADSL, FastLink is not usage sensitive. The service does not charge by the minute. Acceptable usage policy will apply. " Peters added, "This move is facilitated by the OC24 optical fiber which was installed by GTE in our Westlake Village headquarters. This assures us of full capability to handle the widespread anticipated demand for this service. " During the current FastLink pilot program, customers may visit www.franklin.net to prequalify their location for service. FNet will begin taking orders Dec. 7 for FastLink service throughout Southern California. Pricing and levels of available service will be announced December 1 on our web site. The range of pricing will start at $70 for 256K ADSL including Internet Access. Average installation time is four weeks. The primary business of Franklin Telecom, founded in 1981, is the design and manufacturing of communications devices, high speed LAN, WAN, Telco and Satellite Systems and software. Franklin customers have installed over 100,000 nodes worldwide. Franklin's Internet subsidiary FNet provides Voice over Internet Protocol global Telco services. Certain statements in this press release constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements of the company to be materially different from any future results, performance or achievements, expressed or implied by such forward-looking statements. For additional information about this announcement, visit the Officer's Message page at Franklin's Web Site: www.ftel.com; www.franklin.net - for Internet Services and Access; www.fnet.net - for Internet Telephony & Franklin's Next Generation Telephone Company. CONTACT: Franklin Telecom, Westlake Village \| Helen West, 805/373-8688 [Copyright 1998, Business Wire]

To: Stephen B. Temple who wrote (1971)	11/25/1998 8:24:00 AM
From: Stephen B. Temple	Read Replies (1) \| Respond to of 3178

Cayman 2E 500 Selected To Enhance DSC's ADSL Service. November 25, 1998 STONEHAM, Mass.--(BUSINESS WIRE) Cayman 2E 500 Enables DSC Small to Medium Business Customers To Leverage A Single High-Bandwidth ADSL Internet Connection Into A Local Area Network Cayman Systems today announced that Digital Service Consultants Inc. (DSC), will make high-speed ADSL service more accessible to its small/medium business customers by including the Cayman 2E 500 in its ADSL Service, LAN-access package. Deploying the Cayman 2E 500 will enable DSC's small/medium business customers with multiple computers to leverage a single high-bandwidth ADSL connection into a Local Area Network (LAN). "We have been testing the 2E 500 for several months with great success. Our customers want the benefits of high-speed ADSL access - and they love the ease with which Cayman's Zero-Configuration(tm) router delivers it. The plug and play aspect makes it easier on us as well," said Bill Tidwell, Chief Executive Officer of DSC. "Implementing the 2E 500 as an easily installable solution, saves both the customer and DSC time and energy," Tidwell continued. DSC's ADSL Service will use the Cayman 2E 500 to connect multiple devices in an office to an Alcatel 1000 modem and provide users with a "plug and play " solution for sharing a single high-speed Internet connection that uses just one IP address. The Cayman 2E 500 is a Zero-Configuration, dual Ethernet, Internet access router that enables SOHO users to share access to high-speed WAN devices like DSL modems that have Ethernet interfaces. "DSC is the innovative service provider in Georgia working to make high-bandwidth Internet access affordable to more companies. This partnership lays the groundwork for a much wider range of companies to be able to tap into the business advantages available through the Internet. We are gratified that the 2E 500 has been quickly adopted as a prime solution by so many service providers," said Heidi Clark, President and CEO of Cayman Systems. The integration of plug & play, Cayman System's Swift-IP(tm) capabilities and two Ethernet ports in one package creates a unique and powerful tool for service providers that cater to homes and small offices. One Ethernet port supports PCs on the LAN, the other Ethernet port plugs directly into the high-speed modem. The Cayman 2E 500 uses version 4.4 of Cayman Systems' network operating software with Swift-IP. Swift-IP now affords plug & play setup and configuration to small offices using Cayman Systems' HDSL1000, HDSL1001, SDSL1400, ADSL2000, LR700-H and 2E series of routers. Swift-IP integrates NAT (Network Address Translation) and DHCP (Dynamic Host Configuration Protocol) to allow all the users in an office to connect to the Internet using a single IP address. This reduces costs for the small office and makes maintenance easier for the service provider. Founded in 1986, privately owned Digital Service Consultants Inc., (DSC), is a leader in providing Internet access solutions for business. DSC is based in Atlanta, Georgia and provides Internet access to customers throughout Georgia. In addition, the company also designs and stores web pages for customers and offers on-site service and integration. Information on DSC and their ADSL Service is available on its web site: dscga.com. Cayman Systems is the customer premise equipment provider of choice for service providers that sell to the home and small office markets. Cayman's Zero-Configuration routers and turnkey support programs enable Cable Companies, C-LECs, ISPs, ILECs and RBOCs to easily deliver Ethernet-to-Internet DSL and broadband solutions for their small office customers. Founded in 1987, Cayman Systems is a privately held company based in Stoneham, Massachusetts. Cayman Systems, LR700, LR700-H, 2E500, HDSL1000, HDSL1001, ADSL2000, SDSL1400, Zero-Configuration and the Cayman Systems logo are trademarks of Cayman Systems, Inc. All other trademarks, brand and product names are the property of their respective holders. [Copyright 1998, Business Wire]