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Synchronoss: Turning Out to Be a Rotten Apple [view article]
"This lowered guidance was in a quarter where the CEO himself stated that the company had more non-AT&T wins with added revenues than ever before. He also stated that the lower guidance was caused by a decrease in revenue from the iPhone. This either means that Apple's anticipated 3G phone will no longer be associated with SNCR stock or that it has decreased what it will pay for SNCR's service."

This is illogical. It could just as easily mean that they've dramatically increased their estimate on the percentage of unlocked iPhones while decreasing their estimates of how many iPhones would be sold through AT&T vs other carriers. My experience with small IT companies is that, in an effort to support their IPO's, they use very aggressive estimates to support optimistic guidance and hope for the best. If they didn't build a significant number of unlocked phones into their estimates, or if they overestimated the percentage of the 10,000,000 iPhone target that would be sold through AT&T (which most people did until a few months ago), that would also explain the CEO's remarks. May 07 04:57 PM

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