>>And, are you now admitting that concern is growing over the possibility that Iomega CD-RW sales will eat into Zip and Jaz sales, cannibalizing them? You do know what this means for profits, don't you?<<
Rocky -
I don't know whether concern is growing or not. However, I would say that people who are likely to buy CD-RW drives have doubtless been buying them all along. Such people might have been buyers of Iomega products if they had not preferred the alternative of CD-RW.
Now, they can buy CD-RW from Iomega. Iomega won't get all of the CD-RW buyers, of course, but least have a chance to make some money from them. So this is a net positive, as far as I can see.
And don't forget the media. I know that people can buy any brand of CD-RW disk, but Iomega's pricing in that area seems reasonable, especially when you consider that they are adding value by offering the media pre-formatted.
You yourself have been saying Jaz and Zip are not profitable, so I don't see why you now believe that Iomega will be losing out by selling CD-RW.
- Allen
PS: I did want to mention that you actually made a good point the other day. Something about how when Zip was introduced, it was good for backup, additional incremental storage, and transporting files (sneaker net). You pointed out that Zip is currently less useful for two out of three of those. That is true, and a valid observation.
Of course, you couldn't make that point without adding your boilerplate predictions of doom and general "I'm-smart-and-all-you-guys-are-dumb" attitude. ALL of the points you make would be stronger without that. |
