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 : AboveNet Communications, Inc. (ABOV) -- Ignore unavailable to you. Want to Upgrade?

To: David and Elena Krikorian who wrote (461)	5/3/1999 8:09:00 AM
From: Mr. Miller	Read Replies (1) \| Respond to of 835

David and Elena, welcome to the thread. In my opinion, I think this is a great company, a great industry, and a great overall market. To address your questions, I think it best to get several angles. Here is mine: a. Cable access is certainly an excellent avenue for fast access to the internet, but there is one hurdle that seems to be the thorn in the side for cable access. It is a shared resource. Therefore, as more than one individual accesses the same cable line for internet connectivity, the speed decreases to reflect the number of individuals on that line. For this reason, I think cable access has limitations. b. ABOV is using fiberoptic lines for its services. The fiberoptic companies(GBLX, QWST, MFNX, etc.) build it, and companies like ABOV use it. c. ABOV is a provider's provider. Any ISP could co-locate with EXDS or ABOV. It will depend on who like's who, and who has the better product. Several have said that ABOV has a better model(including me) and product, and others have said that EXDS is better. Plenty of room for both, for now. d. The difference between EXDS and ABOV would be in the minutia details of the operations systems. One would have to evaluate those specifics themselves. EXDS has more websites, but ABOV has more peering relationships. e. The ability to get in on co-location is relatively easy. The ability to get and keep a customer depends on the management and the product. What ABOV is building is relations with ISPs all over the world to bring them to the US internet via the fiberoptic lines. This is their global one-hop network that is unique to them. First to market is important. f. Today they are valuable because ABOV has them. Tomorrow they are valuable because they will earn revenues. g. I do not see ABOV making as many acquisitions as EXDS has. ABOV is focused on their network and building this out. If buying up a facility that is in a good location benefits them, then they will do it. h. Many risks. First, see their S-1 about the usual. It is an internet play, so it will be volatile and highly valued. A speculative play has inherent risks. There is no guarantee that anyone will co-locate with ABOV. You have to make a chart or diagram. In the middle is ABOV and outside this center is everything(you can think of)that could influence the company or its price, up or down. The overall market, competition, interest rates, overseas markets, deals, peering relationships. Everything will have an impact. If the story looks good, then hold your shares. If the story changes, and the value of ABOV is not worth the investment, then move on. I like this company's future, and I am willing to hold. The story looks really good right now. Miller My quick and personal opinion.

To: David and Elena Krikorian who wrote (461)	5/3/1999 8:26:00 PM
From: MrGardener	Read Replies (2) \| Respond to of 835

Krikorian's ... please excuse my "jumping in" but since this is a common ground for the exchange of ideas and information about trading & investing I would like to add my comments here. I also own ABOV, as well as EXDS and 21 other technology company stocks. Please proceed with caution with this company / stock. This has been more volatile than most of the other stocks I own and I consider it the "weak pup" of the litter. There is no foundation or base price support compared to other internet stocks, look at the last 90 days of ABOV performance. I'm sure all of the longs will jump all over me for saying this BUT IMHO, the reason ABOV needed a secondary offering is the senior management team couldn't manage the money / business and "burned through" their cash. Why else would the stock be trading in the "80's" ... down from about a high of $150 with a stock split coming up ? I do agree, Mr Miller has been most informative sharing information about the company and industry in general but if I'm not mistaken he is also an ABOV employee ( who probably has his stock option about about $10 bucks a share ). Happy employees are married to their companies and stock, no disrespect meant to Mr. Miller. I don't believe Mr Miller is the type to "pump & dump" but he definitely "pumps" the stock. Good luck with your investment decisions. Respectfully, Mr Gardener