Amazon.com, Inc. (AMZN) 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 : Amazon.com, Inc. (AMZN)

AMZN 232.37

-0.9%

Dec 3 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: schrodingers_cat who wrote (123165)	4/7/2001 9:39:59 AM
From: Sarmad Y. Hermiz	Read Replies (1) of 164684

>>What worries me about optics is that the performance of the equipment doubles, and presumably the price of the equipment halves, every nine months or so. So if the demand for new capacity plateaus, maybe the equipment makers' revenues halve every nine months or so too. The optics guys could end up innovating their businesses into oblivion. << It is not that bleak, business wise. As performance increases, the required technical expertise also increases to the point of putting most vendors out of business. At that point a few (3 to 5) winners will have an oligopoly to themselves. But that would be a mature market. I think in all these industries, one has to estimate the size of the mature market, and see if the market caps of the suppliers are reasonable for that market. Since casual speculators cannot have firsthand information about this subject, they have to rely on stories of analysts, etc.... And that I think is the basic cause of the extreme volatility.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next