Conference nyoss1::market_investing

378.0. "Wireless Cable - Investment Caution" by CSOADM::ROTH (MC5: Kick out the jams!) Mon Feb 08 1993 13:53

The original full post is in the CABLE_TV notesfile.

I am posting an excerpt of this there since, in the past, I have seen
'wireless cable' sales types trying to get folks to invest K$ in this stuff...

Lee


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Note 369.0                    Wireless Cable - FAQ                    No replies
CSOADM::ROTH "MC5: Kick out the jams!"              324 lines   8-FEB-1993 13:45
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Article: 5780
Newsgroups: rec.video.cable-tv,rec.answers,news.answers
From: [email protected] (Brian Catlin)
Subject: Wireless Cable FAQ
Sender: [email protected] (News Account)
Date: Wed, 03 Feb 1993 17:35:59 GMT
Organization: Colorado State University
 
Archive-name: wireless-cable
Last-modified: Wed, February 3, 1993
 
***** Wireless Cable - Frequently Asked Questions (FAQ) *****
 
Compiled by Brian J. Catlin
([email protected] -or- [email protected])
 
NOTE:  Most of this information is taken from FCC Public Notices along with
information sent to me by both the FCC and the Wireless Cable Association
(WCA).  Other information has come from numerous newspapers, magazines, and
from discussions with MMDS subscribers.  Items marked with three plus signs
(+++) have been added or changed since the last posting.
I would also like to thank Alan Larson for his numerous contributions and
corrections.
 
[text deleted]...
 
Q.  I SAW ONE OF THOSE 'INFOMERCIALS' ABOUT WIRELESS CABLE.  ARE THESE
    COMPANIES LEGIT?
A.  While some of these companies may be legit, there are some things that
    they don't disclose.  Because of this, two companies have had temporary
    restraining orders placed against them.  A judge has placed some of the
    following restrictions on them.
    1.  They may no longer state that applicants are "virtually guaranteed"
        of winning a license in the FCC lottery or that most wireless cable
        licenses are "highly valuable."
    2.  "There may be substantial delays in the awarding of any MMDS
        [Multichannel Multipoint Distribution System] license due to the
        length of time the FCC takes to process MMDS applications and award
        MMDS licenses."
    3.  That financing for wireless cable systems is hard to get, "given the
        relatively new nature of this field of technology and that such
        financing may require additional funds of the customer's own money
        as a condition" to obtaining system.
    4.  Provide a new "Risk Disclosure" statement that applicants must sign
        before sale is completed. This statement informs applicants, among
        other items, that any representations of value of systems are
        opinions and not actual values, that the winner of a MMDS lottery
        wins only 4 channels and that there may be competition with
        satellite, VCR, and other media.
    Temporary Restraining Orders have been placed on, or have been filed
    against: 1) Applied Telemedia Engineering and Management (A-TEAM) and
    2) Applied Cable Technologies (ACT).  If you deal with any type of
    application preparation firm, be very careful and read EVERYTHING.
    Other companies that MAY be questionable include Communications
    Engineering Management Services (CEMS), Decaxo Capital, Techno Source,
    and Western Wireless.  These companies have management that were
    involved in a company selling cellular licenses.  This company was
    forced out of business by the FCC for misleading customers.  Other
    questionable companies include MMDS Technologies, Metro Communications
    Group, and Tele-Wave Technology.  I have not heard anything about any
    other application preparation firm.
+++ Also, take note that in the U.S., it is ILLEGAL to enter into (or even
+++ plan on entering into) a settlement group when applying for a license.
 
Q.  WHO DO I CONTACT FOR MORE INFORMATION?
A.  FCC
    Common Carrier Bureau
    Washington, DC  20554
    (202) 634-1706
 
    Wireless Cable Association International, Inc.
    2000 L Street, NW Suite 702
    Washington, DC  20036
    (202) 452-7823
 
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