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Politics : Formerly About Applied Materials
AMAT 297.52-6.6%Feb 4 3:59 PM EST
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To: Big Bucks who wrote (8049)9/20/1997 12:25:00 AM
From: Cary Salsberg   of 70976
 
Big Bucks,

Your discussion correctly describes future chips that are richer in function and cheaper in price. You don't address the issue of increased demand, which is likely when products become cheaper and better. Also, you don't address the continuing technology evolution. Increased chip functionality and capability make new, more advanced applications feasible and cause R&D money to be allocated toward them.

You end your discussion with a prediction of a "chip glut." This is possible, but it is a short term phenomenon and one we have recently been through.

Cary
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