Actually, the selection of the new Director to the BOD confirms my prediction. I do not know when a formal announcement will be made. It may be after Sprint reports its quarterly results next week.
The new Director that ELNK added to the BOD has Clearwire and Eagle River credentials. This further validates that ELNK is moving successfully to the mobile cloud. Eagle River made a huge amount of cash from the sale of their Clearwire assets to Sprint just a few months ago.
ELNK has a relationship with Sprint. All that is missing is the announcement of expanded service to super fast TD-LTE. TBD
It is my educated guess that ELNK will be offering the new iPads to be announced on Oct 22. They will be designed for Business users. ELNK will use the Sprint/Clearwire TD-LTE network for over-the-top connection that will also be twice as fast as DSL or a Cable connection.
McRed's post is in the dust. My prediction will be shown true or false by this time next week.
The quote can be found on the ExtremeTech website. Yahoo does not allow links to be posted. A simple search should find it.
There was an article released that indicated that the new 5s and 5c iPhones do not make use of the Clearwire 2.5 spectrum. That seemed odd to me. I found the following recent article that may provide some insight into how S can use the Clearwire spectrum in crowded urban areas while the expansion of 2.5 is rolled out to the other 34,000 S towers. The article also has a list of cities where 2.5 is available.
Band 34 is a TD-LTE option on the new iphones.
"Sprint also has another unusual benefit to its LTE TDD network deployment. In areas where Sprint’s LTE TDD network has usable channels in the middle of the 2.5GHz band, it can also use a little-known feature called “multiple frequency band indicator” to allow LTE TDD devices that use LTE band 38 (an alternate subset 2.5GHz TDD band class designed to permit both LTE FDD and LTE TDD operations on 2.5GHz) onto its network. LTE band 38 is used in Latin America, Europe, Asia, and soon Canada. The device ecosystem is expected to be quite large"
I have an educated guess that Appl will soon announce a 'dumb' iPad that will use the cloud for processing and the device for receiving and displaying the results only. It should be much lighter, longer battery life, and very cheap. Put a finger print scanner and a wireless keyboard on it and it becomes a replacement for a business desktop. If the device is lost, there is no data stored on it -- a plus for security. It can also be tethered to the iPhone or home or business WyFy to reduce the need for duplicate contracts with mobile service provides.
To be determined.
The 4% rally today is related to Softbank (the Japanese company that bought Sprint/Clearwire). Softbank is building Data Centers in Japan to work with their LTE-Advanced network.
They are going to want something similar in the USA with their Sprint/Clearwire LTE-Advanced network that is still being built. ELNK already has an agreement with Sprint/Clearwire to carry their upgraded device on their upgraded network.
The specific news item today is that Softbank will soon have new money related to the sale of its stake in a Chinese internet company. With new money, they get to compliment their cellular network services with IT services for business which will lead to more users on its network which uses their upgraded LTE-Advanced resources which brings in money for everyone.
Actually, the way to play the China Mobile/iPhone5C situation is to buy Earthlink. Their Data Centers will be needed by Chinese businesses who do not trust data storage in China.
See the last ELNK presentation at Oppenheimer Conference. Slide 9 shows the advantage ELNK has by having both Data Centers plus their own fiber network.
We have a broad network footprint that provides coverage across over 90% of the country. We have expanded our data center presence and added new network routes:
•Allows for lower latency, customer bridging and a more fault-tolerant enterprise class product
•Network and data center combination creates an end-to-end cloud solution
This is Quality over Quantity. A business can arrange for direct connection to the ELNK fiber for a level of security that is beyond Brand X cloud services.
Yes. NY Times and Twitter are also having security problems. ELNK has dedicated transmission lines and redundant Data Centers.
Rackspace has just a couple Data Centers in the USA and they are close to each other. What would happen should a weather event hit the region??
AMZN is demonstrating that big does not mean better. ELNK is focused on quality. ELNK's net debt is significantly lower than many of its competitors. RAX is an exception, but they need to build more to grow -- that costs $$.
AMZN's cloud was down again on Sunday. There are plenty of businesses looking for a more stable cloud option.
ELNK will be describing its Mobile Cloud option this week in Las Vegas. Good Timing!
The following review article was released on PubMed recently. It may explain the interest in INSM this week.
Ther Deliv. 2013 Aug;4(8):1047-72. doi: 10.4155/tde.13.71.
Liposomal formulations for inhalation.
I am doing fine with my investment in SHIRE; I will not be buying INSM. I do appreciate the posters on this board who did help me profit from my earlier interest in this stock. I will let you know, if there are any developments with ROP.
Ah, you missed the point. It is not the physcial location of the Data Center. It is access to the increasing number and power of mobile devices that makes ELNK valuable.
ELNK has access to the Clearwire spectrum and towers. That means speed and large data files that do not depend on fixed cables. ELNK is NEW SCHOOL. Look at where it is going; not where it is coming from.
It is not just about Data Centers. It is also about access to that data. ELNK via the Mobile Cloud has the right model.
To use McRed's analogy -- the ELNK Data Center 'Hotels' are located at the main interchanges across the USA. It will be easy to fill the available space and move from paper losses to positive earnings. IMHO
The MOBILE CLOUD will distinguish ELNK from the other guys, when the newly acquired Clearwire spectrum is rolled out to all of Sprint's 135 thousand cell towers.
The ELNK Data Centers are located in the prime Clearwire metro areas. Businesses need fast and large access to data. See the deal ELNK did with RE/Max real estate to understand how the ELNK mobile cloud makes the difference for them.
On Friday, ELNK released the SEC docs for their $300 M bond registration. There were no surprises. Bond holders will be able to trade, in the open market, their ELNK bond holdings.
This offer may be part of a move to open ELNK to a merger with one of the other Cloud competitors. Or, it may be a move to help management take ELNK private (see Dell or Dole).
The investment to build the new Cloud IT services is mostly done. The losses ELNK has reported during the first 6 months of 2013 are mostly paper losses listed under 'GoodWill'. The Depreciation line item also tends high during the first couple of years after a new build out, but then decreases with time. During the last CC management reported that they do not see a lot of new spend in 2014 as they need to fill the existing Data Centers first. This portends positive Earnings results in the near future.
ELNK has the Cash Flow to support the current almost 4% dividend yield. Your other choice is to buy into the 7 1/2% ELNK bond yield, but with no potential for capital appreciation. It is an easy choice for me.
OK McRed, I agree with you that the ELNK revenue projections for Q3 and Q4 2013 are not that exciting. However, all of 2014 looks good for the top line and the bottom line.
RAX is saying that there is plenty of demand out there for cloud services. You can make the assumption that ELNK will not be able to fill their Data Centers. However, it does not seem to be a healthy investment thesis. Since ELNK has already paid for the build out, full Data Centers means growth and profit. IMHO
RAX has 6 times the Enterprise Value of ELNK with only a small difference in Revenue. RAX needs to invest to build more Data Centers. ELNK just finished their build out.
ELNK = 1.03B with 600M in debt
RAX = 6.43B with 88M in debt
ELNK = 1.25B twelve months 2013
RAX = 1.43B twelve months 2013
On the last conference call, the ELNK CEO was envious of Rackspace and indicated that they compete in the same space. RAX released their Q2 report last week. Their Revenue figures were just a little higher than ELNKs. The cash generated was similar. However, RAX carries much less debt.
The RAX Enterprise Value is several times higher than ELNKs. Investors chased after RAX and are showing distain for ELNK since the Q2 reports. Even though ELNK has finished with the costs of building out their Data Centers, RAX announced that they need to put more money into their network. It seems to be that ELNK is in the better position to grow from here; while RAX needs to find money to pay for growth.
ELNK is in a much better competitive position than RAX going forward. They may even make good merger partners.
I am expecting ELNK to announce more information about its Mobile Cloud abilities in tomorrow's presentation. I suggest investing in future prospects, rather than only evaluating a company by their past.
Listen to the Conference Call again. The investments in the new routes and data centers is behind them. Management reaffirmed revenue guidance for the year -- at the low end.
That means cash will be available for profit. ELNK does not plan to add more fiber or data centers through 2014. All they need to do is utilize the existing resources. New business will fall to the bottom line to the benefit of investors.
The cloud is more profitable than most imagine, once the initial investment is made. IMGO
OK. Is the MOTO X able to access the Clearwire 2.5 sprectrum??
S says it will expand 2.5 to all of their cell sites in 2014, per the last CC. Are they talking about fast access yet?? To attract customers, S needs to identify their strengths.
They paid for CLWR; are they going to capitalize on the purchase??