brushwud -
Do you know how many times HP has announced a 'SGI-killing graphics system'? Do you know how many have killed SGI? Have you ever used an HP for any kind of graphics work (I'm talking about workstations here, not PCs).
SGI is the #1 high-performance and computer graphics company in the _world_, not scattered like HP's general systems. HP has been moving away from workstations for years (in terms of revenue and units).
They may be 10x bigger, but they're more than 10x as diverse. SGI does a relatively small number of things, and we do them well. If it weren't for the printer business, what would HP be? Sure, they'd make calculators and PCs, but calculators and PCs do not a billion $ co. make (Granted, they're great calculators, but the margins on PCs suck).
You've got to spend money to make money, and SGI has been doing that wrt. acquisitions. Look at the revenue curve. Hell, last quarter we did 16% over the previous year, and brought in more money than HP did, but we're still spending money on merger charges. SGI has made a tremendous investment in Cray, and it will pay off. Unfortunately, it's taken a while to digest Cray, but rest assured, after the charges are over, revenue will continue to rise.
Wait for the earnings. I'm very bullish (even though I don't know anything).
-justinb
P.S. Sorry to dissapoint re: inventing something cool during my time off, but I was too busy having fun visiting my family. |
