Formerly About Applied Materials 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.

Politics : Formerly About Applied Materials

AMAT 289.91

-9.0%

2:11 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Cary Salsberg who wrote (8071)	9/20/1997 12:52:00 AM
From: Big Bucks	of 70976

Cary, I work in this industry and have watched it, lived it, and helped it evolve for 15 years. It is prone to cycles, I think you will agree with me about this. I have watched and started up fabs and equipment at numerous sites. I agree with your assessment that the technology is evolving but as with every evolutionary improvement there are casualties that become extinct. I am not portending a doom and gloom scenario, just want to lend an insiders perspective of the situation. It is likely that the large and strong visionary companies will survive, while others will either get swallowed up or become extinct as competition and productivity enhancements cause overall margins and therefore profitability to suffer, making it unprofitable to stay in business. As for a chip glut, we only saw the tip of the iceberg which was DRAMs, what happens when CPUs and linear/analog devices are cheap commodities with profit margins in the <10% range. My earlier post said this could happen in 3-5 years as the 12" fabs are in full production. BB

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next