Post by
gibbonsj on Mar 01, 2017 10:21pm
moonsy26: I agree with you on all accounts
The only thing I'm struggling with is if OTT migration is as slow as it is then the money game becomes signing on new accounts as the up front payment is where the real cash is. After that the shared revenue does not appear to be adding significantly which is understandable if OTT growth is languishing as it seem to be doing. Kind of like the Herbal Life model. If this is the case then management is doing the right thing by adding substantially to the sales team and going after any and all deals big or small. I think they said as much in the comment re 2017 positioning. It's a very big market and NLN has a rapidly becoming must have service regardless of whether it is profitable for the client. As the realities of OTT migration sink in this seems to be evolving into a very cost sensitive competition in which NLN can compete quite well. It's looking like BAMTech may have over estimated the immediate opportunity.