Message Font: Serif | Sans-Serif
UnThreaded | Threaded | Whole Thread (22) | Ignore Thread Prev | Next
Author: WendyBG Big gold star, 5000 posts Top Favorite Fools Feste Award Winner! Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 24644  
Subject: Re: Mobile is huge! Date: 4/13/2012 11:38 AM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 7
Denny, thank you for your excellent insight.

This statement of yours struck me:

"In the old days it was the cost per minute that killed the trade but with the optic fiber and wireless revolutions the cost of transmission has fallen to near zero. The cost is now mostly in the device..."

When the cost of using the phone was high, people used their phones less. Now, a family of 4 may buy 4 phones...but the kids may literally be on the phone every single minute that they are not asleep or under the direct eye of their teacher.

As an entire generation uses their mobile phones as easily as they breathe, maybe the investment focus should be on the telecom companies.

The phone providers are highly competitive and their moat is narrow. The telecom companies are few and powerful and their moat is wider because of the high infrastructure investment. (Please correct me if I'm wrong -- I'm not really up on the latest laws that force the big telecoms to allow smaller competitors to use their networks.)

Aside from T and VZ, which are both low-beta dividend payers (i.e. may favorite type of company), which would you recommend? I am also interested in international players, since Asia, Africa and South America will never be hard-wired with land lines -- they will be all wireless.

Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (22) | Ignore Thread Prev | Next


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.