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Author Topic: NORTEL

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Regardless of the newly issued report detailing critical problems for the next generation telecom, "Resilience, Reliability, and OAM in Converged Networks: A Heavy Reading Competitive Analysis", telecommunication is on the rise and it will continue to rise. Who ever said that there will be no problems with new products. Let me give you few examples, a digital camera goes through few versions until it is bug-free, software developers offer free patches to fix few bugs in your software, wireless networks still have problems with security holes and connection (often crossing). And I am sure there are many more we encounter everyday - but we still buy the products because it is new and exciting, and why not. We as a consumer (and investors) need to drive the new technology, no body else will. I am very sure that same issues are encountered on the manufacturing levels - problems with manufacturing printed circuit boards, problems with making enclosures to protect them, new promising engineering materials that don't behave as characterized etc etc etc. And all this is part of the process and a hard work is put into to make it work on the end. Once the products are released and operate in new environments, there are exposed to many other variables that sometimes cannot be simulated in the test environment, so guess what there will be problems, and no doubt there will be cost to the producers.
Now lets focus on the issued report: I did not read the report, just headlines, and there will be obvious negative reaction of the investors. Why? Because telecommunication and wireless companies are doing (some) very well now (NORTEL) and suddenly problems! Let see who is going to make many for some time and who will not. The investors will be loosing money in the stock market because of the report, and the writers (analysts) of the report will be making money (more than 3,000 $ per report). But if you logically think this report will help the telecom companies in the long run, why? the report is past, the information may be outdated already, who knows the problems are solved right now in this moment. AND Can you imagine report on the problems with air line equipment?????

Posts: 1021 | From: Canada | Registered: Feb 2004  |  IP: Logged | Report this post to a Moderator

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