Stephen -
I was a little dissappointed in the revenue last quarter. With the Syjet shipping for a full quarter and the original "26 million dollar backlog", I was looking for a minimum $35 mil revenue. The $10 million loss was as expected, although the additional mystery loss money in the fine print is very disturbing.
IOM hasn't released new products because they don't have to. A 200meg ZIP would just take sales away/kill the 100meg version, without taking much from the competition. Since they ZIP is selling just fine and margins on it must be terrific at this point, why mess with it? On the high end, I think the situation is roughly the same, except the Syjet is gaining steadily. The 3mb deal is terrific - most catalogs are now marketing the Syjet as a 3MB drive. A little misleading, but it's been done before (i.e. PNCL APEX drive @ 4.6GB).
The Rocket, etc will probably be held til Fall Comdex. Look for a big new product splash. W/regard to higher density EZflyers, I think they're waiting for IOM to go first.
I don't have much comment on the lawsuit. No short term impact on either company. No court action in the immediate future. These things tend to linger for years. Doubt we'll see a technology swap, etc. Would have been better off if Harper hadn't gone on CNBC - sort of a variation on - "if you don't have anything good to say, don't say anything at all"...
It's comforting to see SYQT stabilize at the high 2's. Don't think a general market downturn will pull SYQT down much (anymore than the rally has pulled it up).
Regards,
Joe |
