Bubble Indicators: Ferrari Sales in SV

You know you are in a bubble when Ferrari opens a new dealership in Redwood City. There is nothing like a $200,000 Ferrari to go with your freshly minted dollars, the dollars you just generated by flipping your latest start-up to say a Yahoo, Google or even Microsoft. If signs of SV optimism are directly correlated with Ferrari sales, then we are in for a nice ride, … pun intended. The dealership CEO Giacomo Mattioli told The San Francisco Chronicle, “Our location for the next three years is presold. The supply is very tight, and the demand is very high.” I for one, am happy with an AMD powered Ferrari laptop by Acer, which is my kind of scream machine, the only one I can afford.

Ferrari

VoIP Reseller Model in trouble?

Is the VoIP reseller model in trouble? First Level 3 Communications took its lumps and shuttered its hosted PBX service, (3)Tone (which at one time had 100 resellers) there is news that even others are having trouble making reseller model work. According to Phone Plus magazine, Armstrong Cable which was a reseller of Vonage VoIP is considering deploying its own VoIP service and getting out of the resale business. Some resellers of New Global Telecom’s (NGT) 6Degrees are also having trouble. This is actually an interesting piece, which looks at the small and medium sized businesses and their adoption of VoIP. It is amazing how difficult the market is proving to be, and basically reminds us that we might need to temper our hopes for VoIP in the SMB as well.

The Flip Side of Apple’s Boom

VAR Business looks at the slow death of Apple resellers and consultant shops, mostly because Apple’s expanding its own branded retail network, and trying to keep all the profits from the Apple economy in house. “Simply put, Apple resellers cannot consistently secure the products they need to compete with Apple stores, nor can they get them at reasonable prices when they do get allocation,” writes VAR Business.

Comcast’s VoIP Dream

Brian Roberts, CEO of the largest cable company says that Comcast’s voice-over-Internet-protocol system should be 100% built by mid-2005, and the company is already testing the VoIP service in three markets. Roberts says Comcast’s VoIP calls will travel to its switching office and back over a private network to the call’s recipient. Comcast VoIP will not be transmitted over the Internet. In other words, it could be flying over Level 3’s network, or AT&T network.

Colt, seeks WiMAX for redemption

European bandwidth provider, Colt Telecom, after getting its clocked cleaned in the most recent quarter, where losses totaled to about $57.8 million is now looking to accelerate its growth by getting into the WiMAX game, reports Unstrung.

In a presentation to analysts and investors in London today, new CEO Jean-Yves Charlier outlined the company’s strategy to hit profitability, focused on its ability to “accelerate revenue growth” and “deliver positive cash flow and profits.” Central to this strategy, it seems, is a deployment of nascent 802.16 wireless MAN technology. “There is still a lot of headroom in our business to drive down costs,” explains Charlier. “We will be in Q1 of next year one of the first companies in Europe to trial WiMax, looking at using WiMax technology to connect multiple customers in a given building to our fibre backbone. These are opportunities we believe exist to help drive down the cost of connecting a customer to our network.”