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Technology Stocks : IPG Photonics - IPGP

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To: Michael Dunn who wrote (10)5/31/2007 4:50:23 PM
From: appro   of 18
 
I would like to learn more about fiber lasers and I suppose that means IPGP.

I have been following Coherent (COHR) for many years. The Coherent spokesman has seemed pained to answer repeated questions asking what COHR plans to do to about fiber lasers. The person asking indicated fiber lasers have recently shown dramatic power gains. I seem to recall something on an order of magnitude over what fiber lasers were traditionally producing.

It was the detailed and careful way that the Coherent spokesman answered that led me to Google fiber lasers and discover IGPG.

The gist of the answer was

1. the solutions which Coherent markets are not directly replaceable by a fiber laser. The fiber laser is typically a different wavelength and may end up involving other issues of costs which are not obvious to the casual observer

2. we (Coherent) are looking at fiber lasers but not ready to annnounce anything one way or the other

3. product and other announcements (perhaps in June) will make our strategy clear in the near term.

It is all Greek to me. This told me that I need to do some homework. I am all ears if any of you care to weigh in with your thoughts.

---------------

P.S. Coherent recently bought a small direct diode laser company called Nuvonics. It explained that for the laser "holy grail" of production metal welding, the quality of photons or in other words the nice spot available from either fiber lasers or Coherent's other products is not needed. Instead low cost watts is a bigger issue in manufacturing.

Coherent which likes to buy companies to expand its reach. It has $200 million, sitting in limbo over the stalled acquisition of Excel Technology (XLTC) after European or German regulators failed to approve it. That is being appealed in September.
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