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Technology Stocks : 3DFX

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To: Dwight Griffin who wrote (5171)7/9/1998 8:49:00 PM
From: David R. Parker   of 16960
 
The obvious reason for Diamond's less than expected sales of Voodoo2 cards is their price point. They are much too expensive for a reference design board.

I'm in the process of configuring and ordering a new PII400 (probably from Dell) and am shopping for a Voodoo2 12 to put in it. I have been checking both retail and internet channels and Diamond is overpriced. Both NECX and BUYCOMP have Creative's Voodoo2 12 for $222 and $198 vs $273 and $250 for the similar Diamond product. NECX has the STB Black Magic Voodoo2 12 for $233. I've noticed the same trend at CompUSA, STB for $199 recently vs $299 for the Diamond. Diamond's sales slump with this product is imho due to their price points and perhaps the very poor reputation they have for support and customer service. Creative has mopped the floor with Diamond in price, availability, newsgroup participation (check out the 3DFX news groups...Creative's key people are very active) and customer responsiveness.

Now...if we were getting warnings from other OEMs about poor Voodoo2 sales, we should be concerned...but Diamond's problems alone don't cause me too much concern. I'm looking to buy and would have to be "nuts" to buy a Diamond board.

Regards,

David
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