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Microcap & Penny Stocks : Xin Net Technologies - BB: XNET - The Next Internet Stock? -- Ignore unavailable to you. Want to Upgrade?

To: r g potgieser who wrote (1224)	4/25/1999 8:28:00 PM
From: FFNEODOC	Read Replies (2) \| Respond to of 1593

RG, Growth during the last 6 months, 10k to 20k represents 200%/yr & may have been limited by phone lines and max total capacity of 30,000 with the equipment installed in June '98 (In Beijing & Shenyang). With new infusion of capital from the PP, it is my understanding that capacity per city will be increased to at least 40,000 subscribers at each of the 4 sites for total capacity of 160,000. Whether it is linear at 1500/month or exponential will be determined by further experience, but will likely accelerate with expansion to 2 of the 4 planned cities next month. Revenues generated by expansion will likely be used to fund further expansion (more equipment/capacity & 2 more cities), and may cut into profits, but look how this benefited AOL in the long run. Hope this helps, Frank