Rambus (RMBS) - Eagle or Penguin Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Rambus (RMBS) - Eagle or Penguin

RMBS 97.15

+3.1%

11:27 AM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Steve Lee who wrote (27101)	8/15/1999 4:48:00 AM
From: unclewest	Read Replies (1) of 93625

This factor of 16 or 32 argument does not compute. As the game platforms increase their demand for RAM, the price of RAM falls. It is very likely that 16MB next year will be at the same cost as 4MB now. As RMBS are paid a royalty based on cost, rather than number of units sold, RMBS earnings will rise proportional to cost of RAM sold, rather than megabytes sold. So if RMBS is already in nearly 50% of games platforms and have miniscule earnings at present, 100% game platform market penetration will yield an income from that platform that is at most, double the current amount i.e. miniscule. I think the RMBS earnings hinges almost entirely on sales of RAM for PCs. you are the first to predict that we will be able to buy 4 rdrams in one year for the cost of one today. i hope you are correct. i would be thrilled to get 1/2 of that. btw the gamestations use 32mb not 16. using your theory means the increase will be 4x not 2x. 35% of rmbs earnings hinge on pc sales. unclewest

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next