lt cap,

Thanks for the INTC news. While not certain, I think the buy thesis is at least viable. Or maybe I should say - I'm not buying more, but I'm sticking with the holdings that I have. I would think that the 2018 deployment of xpoint 3D will be a huge data storage/speed of information leg for INTC to stand on. Then again, there's always that 'next thing' on the horizon - read on ZD net today that Dutch researchers have been able to move chlorine atoms on a copper base to store what will (hopefully) be the ability to store 10 terrabytes of data on a square centimeter. The temperature at which this is done now is -198 degrees, but they're working on that ;-) I think part of what the analyst is saying is that INTC's attempt to broaden its range (Apple modems, etc.) and transform the company from being completey PC-centric is not complete by any means, but is showing signs of progress.

MSFT says that storage size and transfer will be critical to them, so they've found a way to store 200mb (I think that's it) on a strand of DNA. Then again, MSFT predicted that by 2018, they will have 1bln computers running Windows 10. Which they now admit won't happen. Surprise! MSFT has no idea of how its business will do. And INFN get crushed for a lack of visibility going forward. Quite usual for the analysts to pick on the little guys, ignoring the 'neiborhood bully.'

I am once again, if not tempted, thinking about the idea of buying INFN now that it is below 12 - the thesis being that the insider buys were around $11.80, and they're not dumb. Why I didn't think this was a screaming buy when it was in territory of breaking into the 9's, I can't really give agood rationale. Then again, why NOK loses more than 2%, and there's no bad news, is a mystery to me.

NOK is down in simpathy with ERIC, which missed on both top and bottom lines already lowered estimates.  Guidance for the rest of the year was not good.

I am not surprised.  With 4G essentially in decline, ERIC is a one trick pony with little to hope for in the next 18 to 24 months.

lt cap,

Thanks for keeping an eye on ERIC and the info on differentiation. I sometimes wonder whether the 'sympathy' positive or negative move - based I guess on the more likely assumption that what's bad for you is bad for me, rather than differentiation. I'd guess the 'corrolation' thesis is more right than wrong. Or maybe it's that (I think the number is) 70% of trades are placed by computers. Algorythms would rule such things, at least short term. If so, the thesis that as one company differentiates itself going forward (e.g., earnings don't correlate with those announced by company 'A'), it turns out well for stocks like NOK as/when/if they can provide proof of differentiation. Your post mortem on ERIC sounds like they're dead ducks.

I might posted this before, but I dug into what Comcast plans are available to me, and found notice that in a number of markets they are implementing/experimenting that as part of your internet contract, you have 1 terrabyte of data per month to download. If you exceed that, they give you two or three warnings, after which downloading data in excess of 1tb results in what essentially sounded like a 'forced buy' of 50gb of more data.  And, I'd guess, each subsequent one will nick your wallet again.

While still in the 'testing' phase in certain markets, it sounds to me like a throttling plan, basically. I can see, and have heard, that such caps are meant to limit pirating of software - at least excessively. But I don't know about services like Netflix (I have no cable or such services) - are the data downloads of movies significant, and would they be included in such a cap? How easy is it to get to 1tb/month? So I'm wondering whether, like the telecoms, this is more foot-dragging on infrastructure improvement. Or maybe Netflix and such, being a 'service' isn't counted towards the limit. But if it is, when 4k becomes mainstream.....(one of the content provider recently said it was moving to all 4k availability- Hulu? I don't quite recall)

Re Whats bad for ERIC is bad for NOK:

That statement is true, to what extent is the real question.  In ERIC's case, it matters a lot since it is not diversified enough.  It also matters if management has yet to get a handle on the decline in revenues and providing the correct guidance rather than keep dribbling out the bad news. That said, I tend to think it has now set the bar low enough.

Fact is, 4G being in decline is not new news, in fact if you remember, ERIC had stated this in its last third quarter CC, i.e. nearly a year ago. 

In NOK's case, we can hope that the Routing and Switching (including SDN), its optical (Long Haul, both terrestrial and sub sea) and Technologies division can cushion the decline in the Wireless division.  It also may be given a pass due to its cost reductions due to its merger.