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To: djane who wrote (2973)2/16/1999 2:35:00 AM
From: djane  Read Replies (2) | Respond to of 29987
 
Upside mag on Wireless Carriers [Don't like IRIDF; No GSTRF mention]

upside.com

The Annual Upside/Downside
Page 8: Wireless Carrires

1998 was a turbulent year for the wireless industry. On
the one hand, consumers benefited from intensified
competition, characterized by continued price
reductions, the introduction of all-inclusive rate plans
and new, innovative enhanced services. On the other
hand, manufacturers were hit by financial troubles in
Asia and Europe, and there was continued fallout from
the C-block wireless spectrum auction in the United
States.

What's in store in 1999? We think more carriers will
actively promote wireless as a land line replacement.
There will be continued consolidation--more
combinations among large players and consolidation
within the global system for mobile communications
(GSM) camp. Building customer loyalty to reduce
churn will become the new mantra. Two-way
messaging will help rejuvenate the paging industry. And
wireless data, after years of being overhyped, will
become more of a reality, as we see faster speed and a
multitude of neat new devices.

Motorola Inc. will make a comeback on the device
side, while Iridium LLC will be a disappointment,
spurring a shakeup in the mobile satellite phone field.


AirTouch Communications Inc. Although
AirTouch is losing share to AT&T Corp.'s Wireless
Services, Nextel Communications Inc. and Sprint
Corp.'s PCS service in the California wireless market,
its stock is being kept afloat by successful European
ventures. Then in January, a European suitor,
Vodafone Group PLC, announced plans to buy
Airtouch for $58 billion in stock and cash.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.6


Nextel Communications Inc. Hit hard by AT&T
Wireless Services' innovation, and we're worried about
its overdependence on Motorola Inc. as well as a
seemingly never-ending thirst for capital. Yet Nextel's
specialized mobile radio technology differentiates it
from other wireless companies.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.4


Paging Network Inc. Has been a leader in the
paging market--even though the sector has performed
dismally. Like other paging carriers, Paging Network
needs something that will lift average revenue per
subscription beyond $7 per month.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.2


SkyTel Communications Inc. This company's
hot-selling two-way service is reviving the moribund
paging industry. However, Skytel's six-month lead is
likely to disappear as soon as the other paging carriers
launch two-way service.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.2


Sprint PCS Group Has put the building blocks in
place to be the only true nationalwireless play besides
AT&T Wireless Services. However, the company
needs to compete on something other than price. It has
also been hampered by a lack of code-division
multiple-access handsets.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.2


United States Cellular Corp. As the industry
consolidates, this company is a potential acquisition
target. It operates in rural areas, which aren't as subject
to personal communications service competition.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.2


Omnipoint Corp. Hit hard by competition from
AT&T Wireless Services and Sprint PCS. Plus, its
GSM digital cellular footprint still looks like Swiss
cheese in the United States. Desperately needs a
strategicinvestor if it is to win new license auctions.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.0


Western Wireless Corp. One of the
better-managed wireless companies, Western still faces
a tough competitive fight; however, it's bolstered by
rural cellular operations.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 3.0


Iridium LLC The company's satellite phone network
is an amazing technological achievement. Now,
however, it's faced withselling an expensive,
mediocre-performing service to businesses that are
seeing improved alternatives from conventional wireless
networks.

Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 2.8


Boston Communications Group Inc.
Positioned to benefit from a fast-growing market for
prepaid wireless services--but its business model has
failed to adapt to changing times.
Market
Share
Innovator
Overseas
Alliances
Management

Overall Score: 2.0

Next Page | Land-line Carriers

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