VeriSign -- Driving IP/PSTN Convergence

Intellectual Capital Associates analysis of VeriSign/Illuminet transaction points to further acquisition activity

SAN FRANCISCO, Jan. 24 -- ICA Competitive Intelligence, an event-driven research offering of Intellectual Capital Associates (http://www.intellectualcapitalassociates.com), today announces the publication of a report that analyzes VeriSigns (NASDQ: VRSN) acquisition of Illuminet as well as the companys broader convergence strategy. The report forecasts further acquisition by the Internet leader in an effort to materialize aggressive plans for a new Super DNS" network.
Among the reports key points:
This acquisition is just one step in VeriSign's long-term strategy of Internet and telephony convergence, which if successful, will put VeriSign at the center of network intelligence and make it a powerhouse of the converged PSTN/IP space.

The investment community, and the telecom and Internet industry, have not yet fully grasped the impact of VeriSign's acquisition of Illuminet.

VeriSign's strategy aims to change the way people make and receive both phone calls and Internet queries, as well as the way those transactions are billed.

VeriSign's strategy will require further acquisitions by the Internet leader and could place short-term and medium-term pressure on the company's cash flow.

The Illuminet acquisition itself provides few near-term synergies and could prove to be a drain on the company if the convergence strategy is unsuccessful.
The report draws on research gathered from public filings, conference calls, and key insights from telecom and Internet regulators. Industry background, technical primers, network architecture, and full marketing and competitive review compliment the report, along with thorough financial review and projection.
VeriSigns rapid capital deployment in Q4 01 stirred a fair amount of attention, but it has only just begun," remarks ICA Managing Partner Alex Ip. Telecom and Internet companies alike, not to mention investors, would be wise not to underestimate the ramifications of VeriSigns strategy."
About Intellectual Capital Associates
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About ICA Competitive Intelligence
ICA Competitive Intelligence offers an event-driven Syndicate for exclusive, limited availability research and analysis of landscape-altering mergers and acquisitions, key regulatory directional changes, disruptive innovations, and other changes in industry structure. For information on purchasing this or other ICA reports, visit http://www.icasyndicate.com/ or email: info@intellectualcapitalassociates.com.