"All right, I keep hearing about digital convergence.  Sounds really sexy and it sounds like it could make you some money.

You're hearing about digital convergence when you read an article about how your cell phone can do a lot more than just make calls.

What pin action off the cell phone!  Your cell phone can play music - it can download data.  Your phone's becoming the PC of the future.

What I'm talking about here is progress!

Down the road, you're going to have one device - we know that's going to happen - and that device is going to do everything.  Hey, and that device is not going to be made by dell - no way.

This thing keeps getting bigger and bigger.  You know about music and data on your phones.  But did you read about how the cable co.s need to start developing devices and relationships with the wireless providers, so that you can be in contact with your cable when you're not at home.   The cable co.s are trying to come up with a device - something that can integrate into your cell phone, so that you can record [a tv program] from a few hundred miles away!

If this digital convergence is going to happen - yeah, I've got the play - even on a crummy day like today - you've got to take it down.

The play is Openwave (OPWV)!

That should be the co. That makes it happen.  They're behind the software; they make the browser that let's your phone do all these advanced applications.

They license this browser to over 50 handset manufacturers; it's already in over a billion phones.

This thing has got gravitas.  The software works as a gateway in messaging.  It's got over 50% market share in handsets.

I'm doing a 'mon-back OPWV!  And it should only make more money, as we need to use our phones for more and more complex things.

A co's real bloodlines are in its management, and this is what makes me really excited about OPWV.  The ceo of OPWV is now a guy by the name of david peterschmidt.  And, you know, he's really good.  He was the ceo of inktomi, one of a handful of web startups that actually made investors real money.  Most of them went belly up in the late 90's, but inktomi was solid.  That's why OPWV is worth the backing on the strength of peterschmidt alone.

But I will never recommend a stock on the basis that it's got one good guy running it.

This is the play on digital convergence, and now you've got the management.  But how about some facts?

Sales of multimedia handsets should grow about 12% through 2009.

Sprint-Nextel should be coming out with a joint venture with cable co.s to give people that cable phone, and that could be a huge catalyst for OPWV.

Plus OPWV - they just did a smart thing - they just bought 'Musiwave', an aggregator of downloadable music ringtones and content.  This should provide OPWV with a lot of cross-selling opportunities.

The big new thing for OPWV is this 'Midas' platform.  They announced it in February, and it allows operators to deliver realtime video and video on demand to people's phones.

OPWV has the convergence angle and it's actually, unlike everything else you read about in the papers, inexpensive.

The stock trades at about 20x forward earnings on estimates of $1.07 per share.  Growing earnings at 28% and revenues at 21%?  And I think has the magical accelerated revenue growth.

When you've got a stock that is trading at less than 1x growth, it's a stock that you are probably going to get a deal on.

The bottom line!:  you, instead of reading endlessly about convergence, need to go buy OPWV for your multi-purpose handsets!  But I think you'll also want to try to do it to make some mad money!"         

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