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 : General Magic -- Ignore unavailable to you. Want to Upgrade?

To: Straight Up who wrote (5579)	3/12/1999 2:49:00 PM
From: Tom	Respond to of 10081

Thought people might be interested in this from Bloomberg: bloomberg.com, which is a repeat of Feb's and Dec's similar "Rankings." "Nice" to see in contrast to Wednesday's figures. What makes Bloomberg hold the line with decling value/performances?

To: Straight Up who wrote (5579)	3/12/1999 5:56:00 PM
From: Kurthend	Read Replies (2) \| Respond to of 10081

Straight Up and others, Below are some of my notes from the conference call. As always, my usual disclaimer that I didn't take complete notes and some of my notes may be wrong due to me possibly misunderstanding what was said. Also, I didn't proof read anything so I take no responsibility for grammatical or spelling mistakes. IMO, 4th qtr wasn't pretty but I didn't expect great things out of the 4th qtr. 4th qtr is history. Look at the second half of the year. That is where you will find the growth, if what Markman stated is correct. One other thing to look at is the financing. I don't think Markman will get another financing deal like the Convertible C Series. GMGC IMO will need a some sort of financing prior to the middle of May as this only gives GMGC about 45 days before they run out of cash. Anyway, here are my notes: QWST- market trials began in Dec and will continue into the 2nd qtr with selected customers. LCI was mentioned, but I can't recall exactly what was said. Intuit-revenue to begin in the 2nd half of 99. The low end tier will not consist of any revenue by the user (my thought, Intuit may pay GMGC a nominal fee) and the high end will pay a the premium service. The middle tier will also pay. This was old news IMO. GMGC has other prospective internet customers. No names mentioned. I won't go into the details on the expenditures as anybody can read the 10K. But, GMGC did say that $1.6 mil in expenses was due to the Data Rover spinoff and $800K was for a right off of the purchase of NeTalk. $12.9 mil in expenses was due primarily to staffing (and staffing increases) and marketing. In the short term, revenue from Portico will continue to be minimal. Significant revenue is expected in the latter half of 1999. $33.9 million in cash and cash equivalent 1,888 Series C converted for 3.7 million in common stock. If the other Series C shares were converted, then it could be converted into 2.7 million shares of common stock. I believe this info was applicable on Dec 31, 1998 and not the date of the conference call. I could be wrong. Markman talked about voice enabled web content, MagicTalk leading the race and other companies telling Markman that this would be the de facto standard. The Wirelessknowledge deal involved heavy use of the enterprise system and would lead to revenues in the 2nd half of 1999. NOC-major prospective customers are basically demanding that the NOC be reliable which Markman believes is reliable. I believe Markman stated that the quality is good with a 99.92% uptime (system is down less than an hour a month) and that there is currently a 92% recognition rate. Another NOC may be built in the latter half of 1999 in order to accommodate expected usage of the system. I thought Markman stated that each NOC would be able to handle up to 500,000 customers/users and that GMGC wanted to add to the this capacity. There was positive feedback by users of Portico. GMGC wanted to focus on what was the most productive features of Portico (for the subscribers). Markman also spoke about some incentive feature to those that referred other customers to Portico. TMA is expected to be a $2 billion market by the end of 2001 and GMGC wanted a lion's share of that market. IDC apparently estimated that there would be 90 million internet users during this same time. I believe Markman also mentioned something about $269 billion in ecommerce by the end of 2001. Again Markman mentioned something about additional internet partners. Carriers may announce in the 2nd or 3rd qtr of this year. IMO, the carriers are indeed turtles in accepting new technology as there appears to have been a slow down in terms of possible announcements by these carriers. GMGC is unfortunately at the whim of these large carriers. Portico functionality will be added by the middle of the year. Once again, they stated to expect significant revenues in the 2nd half of 1999. GMGC will focus on superior technology, commitment, and I believe they said service. Revolv will produce in the 2nd half of 1999. 1st qtr revenues will again be nominal. $12-15 million burn rate. GMGC is actively pursuing additional financing. Markman has no intention of running out of cash. GMGC can't predict RBOCs. There is a heck of a lot of work for GMGC. Goal is to build revenue stream. They are working hard on analyst coverage. They guess (I want to emphasize that they emphasized GUESS) they would be at breakeven point at the end of 1999. GMGC had good resellers and not so good resellers. GMGC will start web based banner ads (I didn't catch the time frame of these ads). No statistics were available for GMGC's sales through their web site. Markman did mention the Yahoo thread and shorts in general. This is not all inclusive, but at least it is a start for those that didn't listen in on the conference call. If what Markman stated during the cc was true, then GMGC will do fine in the latter half of this year. Right now, they need to work on a financing deal and start producing revenue. Take care, Kurt

To: Straight Up who wrote (5579)	3/13/1999 12:48:00 AM
From: VIPER85730	Read Replies (2) \| Respond to of 10081

Straight Up, >I am long GMGC. At this point there is no sense selling. I do chuckle when I read some of these posts. If investors are looking for a safe haven for their money then they should NOT be playing the stock market.< You sound like I did with another (unmentionable) company that lost me a ton. You should probably know that there is a $3000.00 limit per year on capitol loss deductions. The rest is carried over to future years. (Presumably against future gains). I hope you're considering all of this. You're not the Captain of this ship. You don't need to go down with it. A poster on AOL is suggesting that a secondary is underway in the 2-3 range. I can't verify this, but I don't doubt it either considering the vote to increase shares or the stocks actions. VIPER-------< P.S. If this turns out to be true, I wanna hear ONE person defend management and their game plan.