Here are some thoughts about cuddly interface from eClub advisor Charles Drace in New Zealand. Charles quite correctly points out some of the pitfalls of telephones as an internet interface. I would like to comment on two of Charles's points, the first being Warren Buffet's point that most high tech companies will not survive. This has been true in all of the new technologies. Most of the startup railroads are no longer in business. Most car makers are gone. Even the first US international airline (PanAm) is extinct. This is why Buffet failed to invest in dot coms, etc. He did not understand them. The key here is that we should only invest in things we understand. Rather than look for internet interface companies look for business's that are in a field you know and understand that will take advantage of this technology.
The second point relates to the health risk of cell phones. I agree that this could hot the industry really hard. I recall an event several years ago when a young friend of mine (in his early twenties) collapsed while jogging. He turned out to have a brain tumor which was growing right where he always held his cell phone. He was convinced that this was caused by the phone and he went for interview on TV about this. Merri suggested I sell Mortorola shares short before the interview, but I scoffed. Motorola's is too diverse to be affect by just a cell phone scare. Plus he has no proof! To make a long story short the days after the interview, the press picked this up and Motorola's shares did crash. Though the downturn was temporary this was a notice of the concern the public places on these health issues.
Until next message, good investing!