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JRW2
R.I.P. Mom, Brian, Ziggy, Max and Zen.
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join:2004-12-20
La La Land
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Reviews:
·Optimum Online
reply to openbox9

Re: Really Mr. Moffett?

said by openbox9:

In his defense, VZ's investment in FiOS hasn't exactly spurred any great growth for the company. Not exactly imploding, but.....
Investments such as this don't usually show IMMEDIATE profits, but in the long run turn out to be a VERY cheap investment in the company that has long range payoffs in savings.

In the case of FIOS, we are ONLY looking at the "Triple Play" area and forgetting the changes on the back-end at the CO's that will save Verizon BOATLOADS of cash in maintenance costs, PLUS offer them a way to be on the forefront of FUTURE delivery of next generation of services...
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In constant search for intelligent life on Earth!

Skippy25

join:2000-09-13
Hazelwood, MO
Your speaking with a man that probably Twitters and is a friend on Facebook with Moffet.

Don't attempt to debate the obvious with him.

openbox9
Premium
join:2004-01-26
Germany
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1 recommendation

reply to JRW2
Reducing maintenance cost isn't growth. Both are nice for the bottom line, but some growth would've been a nice boon for VZ. I understand long term prospects, but so far, FiOS doesn't appear to have even moved the needle. Wireless is where it's at for VZ and T.

openbox9
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join:2004-01-26
Germany
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reply to Skippy25
I've never even been to Twitter's webpage and I don't have a Facebook account. BTW, I have some VZ in my portfolio, so if anything, I'm at odds with Moffett. Anytime you'd like to debate the actual financials of VZ, let me know.

mobbo

join:2005-04-13
Denton, TX
reply to openbox9
Ya, and wireless is going very well for T...

openbox9
Premium
join:2004-01-26
Germany
kudos:2
Actually, it is
AT&T posted a net gain in total wireless subscribers of 1.9 million, the highest first-quarter total in the company’s history, to reach 87.0 million in service. First-quarter net add growth reflects continued rapid adoption of smartphones and a host of connected devices. Connected devices in service increased by 1.1 million in the quarter to reach 5.8 million, and retail postpaid net adds totaled 512,000 to reach 65.1 million.

Average monthly subscriber churn improved substantially in the first quarter, reaching the company’s best-ever levels and marking AT&T’s fifth consecutive quarter of year-over-year improvement in both total and postpaid wireless churn. Postpaid churn was 1.07 percent, down from 1.15 percent in both the year-earlier quarter and the fourth quarter of 2009. Total churn was 1.30 percent, down from 1.56 percent in the first quarter of 2009 and down from 1.42 percent in the fourth quarter of 2009.
»www.att.com/Investor/Financial/E···INAL.pdf

patcat88

join:2002-04-05
Jamaica, NY
kudos:1
reply to openbox9

growth for the sake of growth
said by openbox9:

Reducing maintenance cost isn't growth. Both are nice for the bottom line, but some growth would've been a nice boon for VZ. I understand long term prospects, but so far, FiOS doesn't appear to have even moved the needle. Wireless is where it's at for VZ and T.
src: »www.nytimes.com/slideshow/2008/0···dex.html

openbox9
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join:2004-01-26
Germany
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Point???

Burn the houses and move on.


JRW2
R.I.P. Mom, Brian, Ziggy, Max and Zen.
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reply to openbox9
said by openbox9:

Reducing maintenance cost isn't growth. Both are nice for the bottom line, but some growth would've been a nice boon for VZ. I understand long term prospects, but so far, FiOS doesn't appear to have even moved the needle. Wireless is where it's at for VZ and T.
While VZ seems to be focused almost entirely on wireless phones, they seem to be missing the opportunities that the fiber to people's homes affords them.

I would also argue that by installing FIOS they have arrested the loss of people to the cable companies, to me this is a positive on their balancesheet, but I doubt they see that, hence the choice to STOP the further rollout of FIOS.
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RIAA/MPAA... Bite me!!!!
In constant search for intelligent life on Earth!

openbox9
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Germany
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Wireless is where the money is now and will most likely be for the next few years. For a telecom with any sort of wireless arm to not focus on growing its wireless base is foolish. I'm not suggesting that FTTH doesn't help stem VZ from bleeding wired customers even faster than it already is, my point is that the investment in FiOS hasn't generated the return that VZ, and many around this forum, had hoped it would. It definitely hasn't generated the growth that many investors desire.

mobbo

join:2005-04-13
Denton, TX
reply to openbox9
Again, those are great numbers, but check back in 3 to 5 years. After the iPhone exclusivity agreement goes away. After those 2 year iphone contracts go away. After the family share plans go away. After Android becomes the more widely accepted smartphone platform. The problem with AT&T across EVERY division (besides the horrid union labor) is the incredible short-sightedness. It would be very unwise to think those churn numbers will stay in the black unless they actually do some Verizon-style investment in their networks. And before anyone says "its not that bad", and you could argue that until the cows come home, the problem is no longer a debate point on tech-savvy forums like DSLR. Its now public perception that AT&T's network is horrid. My dad, love him to death, but he doesn't know jack shit about cell services, 3G, 4G, the internet, networks, etc... but he knows AT&T's network is one to avoid. Shaking that label is going to be AT&T's biggest problem. Every iPhone 4 review gave the phone great reviews, but the AT&T network was the downside. And when people are given an out (Android, loss of iPhone exclusivity, etc.), they will.

openbox9
Premium
join:2004-01-26
Germany
kudos:2
In 3 to 5 years, the "next big thing" will be here so we'll see. AT&T continues to invest in its network, so things will continue to improve. Yes, it faces a fair amount of negative PR these days, but things will get better. The iPhone will be around for a while and there's plenty of room for Android, BB, and the iPhone in the market. I'm not defending AT&T's (in)action, but I don't believe the death knell is sounding.


TKJunkMail
Premium
join:2005-12-09
reply to openbox9
Point???

Burn the analysts and move on.

xrobertcmx
Premium
join:2001-06-18
Sterling, VA
Reviews:
·Verizon FiOS
reply to openbox9
I wouldn't have a Verizon bill if not for Fios. Over priced 3/768 Dsl and over priced phone can't compete with a cable triple play offering. Of course it wasn't until Fios deployed that Comcast only decided to offer a slightly better rip off.
--
Retaking our country one election at a time.

sonicmerlin

join:2009-05-24
Cleveland, OH
kudos:1
reply to openbox9
said by openbox9:

Wireless is where the money is now and will most likely be for the next few years. For a telecom with any sort of wireless arm to not focus on growing its wireless base is foolish. I'm not suggesting that FTTH doesn't help stem VZ from bleeding wired customers even faster than it already is, my point is that the investment in FiOS hasn't generated the return that VZ, and many around this forum, had hoped it would. It definitely hasn't generated the growth that many investors desire.
It's difficult to grow in an already saturated market. Your analysis of the wireless market is also mistaken, as it too is experiencing saturation. Once true 4G is installed, monetizing voice minutes will become a huge problem. Moffett's point is that wireline provides a large amount of consistent revenue (due to an utter lack of competition), and a loss of that stable base puts a company at greater risk.

FIOS has also done a great deal to stem the tide of wireline customer churn. Yes cable is still bashing telecom on the head with its addition of customers, but Verizon isn't losing FIOS customers the way AT&T is losing DSL subscribers.

openbox9
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join:2004-01-26
Germany
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I disagree. Wireless is growing and has been for a few years. iPhones sell like hotcakes and other smartphone usage (and the extra revenue) has grown exponentially in the last year or two with no signs of slowing for the next couple of years. Once LTE is deployed, who cares about minutes and SMS...the carriers will be metering your bits, not the minutes.

Stemming churn is not growth. Just because VZ isn't losing as many customers, doesn't mean the investment in FiOS is generating revenue at the expected rate.


JRW2
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said by openbox9:

....doesn't mean the investment in FiOS is generating revenue at the expected rate.
All companies are TOO short sighted and have unrealistic expectations when it comes "expected revenues"...

If it doesn't make A LOT of money VERY fast, it is a failure, even though it may have very good revenues.
--
RIAA/MPAA... Bite me!!!!
In constant search for intelligent life on Earth!

openbox9
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You're right. How dare companies try to make money.


JRW2
R.I.P. Mom, Brian, Ziggy, Max and Zen.
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said by openbox9:

You're right. How dare companies try to make money.
Don't twist what I said...
I said they all seem to have HIGH expectations on revenues, if they don't hit those numbers, they consider it a loss, even though they ARE making a profit, and in many cases a good one, just not what they HOPED FOR...

As an example..
A company I worked for EXPECTED to make 15 million dollars PROFIT one quarter, when they only made twelve million, they considered it a three million dollar LOSS.
--
RIAA/MPAA... Bite me!!!!
In constant search for intelligent life on Earth!

openbox9
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join:2004-01-26
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You're right. I should've wrote, "How dare companies try to make their revenue targets."

Considered it a $3M loss for what purpose? Internal management's loss? Missed earnings so the company's stock was hammered?