From Wireless Superstar To… Selling Mortgages?

from the interesting-transition... dept

During the boom years, Aether Systems was supposedly going to change the wireless world. A lot of people never understood what they were trying to do, but it was going to be “big.” That sentiment helped drive up the stock and make it worth a few billion dollars at one point. So, where are they now? Investing in mortgages. Seriously. The company has sold off all its wireless pieces. The explanation for why: “We were spending more than we were bringing in.” Ah, the old burn rate excuse. Of course, this didn’t stop them way back when. Over the years they’ve been public the company has squandered $2.4 billion. Doesn’t exactly explain why you go from wireless communications to selling mortgages.


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Comments on “From Wireless Superstar To… Selling Mortgages?”

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2 Comments
Anonymous Coward says:

Aether...Not surprised...

Not surprised. I used to work there a few years ago. The team knew nothing, and were mediocre at best. At one point Dave Rosi brought in a bag of hot air Vinit Nijhawan to “save” the company. Several $$ later and waste of time, nothing materialized. In fact he presented material to the executive that was plagarized information from a gig that he just started with Taral Networks.
Companies like Aether go public to legitamatilly steel money from the public.
I wonder how many bonus’s were paid to the executives over the years for a waste of time. The shareholders should demand for bonus money paid to the executives back to the company.

Anonymous Coward says:

No Subject Given

Sounds to me like your best example of capitalism in the 2000s you could wish for. These guys are simpling chasing the money. Wireless was hot, then it was not. With the refinance boom that has gone on the last few years, it’s where the money is. However, now that mortgages have/are growing cold, they’ll need a new cash cow to chase.

Can you say nanotech ?

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