A View on View :: AT&T/BellSouth Marriage: The CallVantage Factor

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AT&T/BellSouth Marriage: The CallVantage Factor

by Mark Evans on Mon 06 Mar 2006 05:00 PM EST | Permanent Link

One issue lost amid the the huge-ness of AT&T's $65-billion acquisition of BellSouth is the potential to jump-start CallVantage's growth in the VoIP market. With AT&T and BellSouth combining forces in VoIP, what does this mean for Vonage and 8X8, which has a partnership with BellSouth? An analyst told me earlier today that time isn't on Vonage's side because "there are too many things going on in the wrong direction". That sounds like the right sentiment to me.

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Re: AT&T/BellSouth Marriage: The CallVantage Factor

by Anonymous on Mon 06 Mar 2006 08:00 PM EST | Permanent Link

Hey Mark - I have a feeling that the best thing to do after the Vonage IPO is to short the stock. It just seems that all of the net neutrality arguments, along with the carrier's in-house offerings will crush the ability of a company like Vonage to make any money. Their only hope seems to be a takeout.

Re: Re: AT&T/BellSouth Marriage: The CallVantage Factor

by Mark Evans on Mon 06 Mar 2006 09:21 PM EST | Profile | Permanent Link

the question is would to buy vonage and how much would they be willing to pay? i think citron missed his window of opportunity when vonage wasn't taken IPO when VoIP was red-shot. even with large losses, investors would have flocked at the time to own part of it. today, its warts look worse given the competitive landscape and VoIP's no longer red-hot

Re: AT&T/BellSouth Marriage: The CallVantage Factor

by Stuart MacDonald on Tue 07 Mar 2006 11:51 AM EST | Profile | Permanent Link

One thing I find fascinating about this is that, per Ad Age this morning, they are going to kill the Cingular name as a result of all this.

After spending jillions to build that name, then buying AT&T wireless and rebranding THEM to Cingular...

Man. I should sooo be in the US wireless ad agency business. Add in the fact that it's all churn, all the time and virtually zero brand meaning? It's the bloody gift that keeps on giving.

Oh, and they should likely all be fired, but that's besides the point.

- Stuart

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