08.06.2001
Ambit’s ADSL order to Yahoo may be delayed

• Development: Local press reports that Yahoo Japan will postpone launch of its high- speed Internet service to early Sep. as access to NTT’s phone network requires approval. Yahoo noted the set back would hamper efforts in testing the non-Japanese standard broadband service in Japan.

• Analysis: In our model, we assume that Ambit, Yahoo’s ADSL modem outsourcing partner, will ship only 250k units of ADSL modems to Yahoo Japan in ‘01 as an interference problem persists (Annex A Vs. Annex C).

• Primasia View: We believe Ambit’s Yahoo Japan order may merely be delayed thus we maintain our original shipment assumptions.