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Technology Stocks : S3 (Multimedia semi's place 2be)
SIII 0.00010000.0%May 12 5:00 PM EST

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To: Ski who wrote (7743)3/9/1997 2:08:00 PM
From: Anatole Kulick   of 9477
 
Hey, comrade Ski,

In your msg #7743 you wrote that Intel will move into SIII space in the summer of 1998. Allow me to disagree with you.
There are 3 spaces in graphic accelerators business.
Low-end (price $30 ) S3 is the leader and ATI is second.
Midrange (price $75) leader is Matrox and S3 does not compete in it.
High-end (price $400) is for 3Dlabs and 3Dfx, there is no presense of S3 in this group.
Intel intentions is to manufacture chips for high-end space, because they want to compete there with SGI, SUN and IBM for fat margins. They are not going to make $30 accelerators, margins are to low for them. Correct me, if I'm wrong. AK
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