Sid,
That USC ipo MAY reduce the "potential" book value of S3. If it opens lower than expected . Then we will KNOW instead of speculate. remember the "buy on rumor/sell on news" thing that the street does?
besides, the rumor on the AMAT thread is the (ludicrous) potential of overcapacity in Pac Rim for Fabs. There is potential difficulty transitioning from 200mm to 300mm facilities, creating uncertainty how long a current investment in 200mm will last (5 yrs in a 25 yr building).
FERO and SEH (japan) are trying to develop 300 mm ingot pullers, which is raw material for the wafers (MEMC), which supplies the CVD, etch, etc. equipment (AMAT, NVLS, ASMLF, etc.) which populates the fab (USC, TSM), which fabless companies (S3, TRID, TDFX, etc.) companies hire to build their chip products who sell to board bulders (STBI, DIMD, etc.) who sell to box builders (CPQ, DELL, IBM, etc.) who sell to distributors (CPU, Circuit city, CPWR, etc.) who sell to the consumer (BAC, WFC, ONE, other banks) as in money taken out of.
so you see, it all depends upon YOU and how many computers YOU buy. the industry is depending upon YOU.
so stop worrying about the Fab value, and go out and buy 100 S3 boards. support your company!
:) |
