AT&T is Posturing – But Its Decision is Correct

Implications: AT&T’s comment about WiMAX is pure posturing.  No two wireless technologies are alike.  

Analysis: Supposedly WiMAX has a shorter range than 3G.  Funny not more than 2 years ago carriers were all claiming WiMAX’s range was 30 Miles.  I have not seen a 3G systems deployed in a Tier One market where cell towers were 30 miles apart.  Besides the range comment the sound bite is pointless.  There is not a carrier that deploys a 2G or a 3G wireless system in urban environments where two adjacent towers are 30miles apart or for that matter even 2 miles nowadays.

AT&T’s comments are all posturing.  However, on a positive note AT&T is watching its pennies.  Very smart.  AT&T needs to keep desperate stock brokers off of its back.As I have said for the last 12 months we are in a recession.  It has not been a text book recession because we have never had a global economy.  Recovery is going to require the best minds in financial and operational restructuring.  But we can and will recover.

Restructuring professionals are often accused of being all gloom and doom.  However, the reality is that the restructuring professionals are the first to be aware of a disaster.  There is an upside to this economic recession; there is enough intelligence and experience out there to soften the crash and to begin recovery.

AT&T is doing the right thing by being fiscally conservative.  Now all AT&T needs are stock brokers to get off of its back and let it run the company.  Investors do not need wild stock speculation now.  Investors need patience and need to do diligence.