Quote:
Originally posted by Pie
Technology companies can't survive with debt. They were still thinking in fuzzy-headed utility company mode. There was no need for it, either -- if they had floated a few million more stock, they could have cleared it easily.
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Even high tech companies survive in debt. But debt is suppose to be due to a need for cash to develop and manufacturer new products. What constantly bothered me even two years after the Lucent spin off - and I even cornered a Lucent saleslady about this - no new or innovative products.
For example, this facility was upgrading its phone system. The only internet computer shared same line with fax. I asked about dedicated lines on that PBX so that a fax or modem could lock onto any available outgoing line - not be interrupted. This even existed in the older Northern Telecom switch. She was confused. Fine. Just include an adapter so that when one was using the line, the other was temporarily locked out (even saw something similar in Radio Shack). She had to ask. Apparently she did not even understand the problem - let alone know the product line. What about a modem adapter plug on some phones so that a computer's modem could use that phone. Nothing. Blank look. She could only sell PBXs - and did not even understand many functions that PBXs could offer.
Now maybe it was just her and my other Lucent sources. But two years after the spinoff - and Lucent still had no 'exciting' products - but had the debt that is suppose to occur only with those breathtaking products.