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Non-Tech : Any info about Iomega (IOM)?
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To: Tom Carroll who wrote (2825)6/13/1996 9:15:00 AM
From: Heeren Pathak   of 58324
 
Tom, Your analysis Jaz's impact to this quarter's revenue missed
one important thing... a well-developed channel. When the Zip drive
was released, Iomega did not have a distribution channel ready to
sell the product. It did not have a supplier channel willing to feed
in parts in volume. This weak channel existed because historically,
Iomega did not sell more than a few hundred thousand units per year.
Ditto did not change this equation by much. It increased the volume
by only a small amount. When the Zip was introduced, it took Iomega
some time to convince both the suppliers and retail channels that
they had a product capable of selling several million units per year.

The Jaz drive will not face the same level of resistance. It has
been eagerly awaiting and I have seen it appear in stores and
mail order earlier and in far greater quantities than Zip.

IMHO, the biggest obstacle to the Jaz is its price. At $500, it is
not something that a person picks up off the shelf. The lack of
an EIDE interface will also limit Jaz sales.

Heeren
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