Any info about Iomega (IOM)? Message Board

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Non-Tech : Any info about Iomega (IOM)?

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To: Ken Pomaranski who wrote (7495)	9/24/1996 12:41:00 PM
From: Jay Chaffin	of 58324

Ken, >>- floppy costs $15, Zip cost ~$70.. manufactures are leaving $55/system on the table. Say they sell 1 million systems.. thats 55 million bucks to the bottom line! NO WAY would any computer company that wants to compete in this cutthroat buisness leave that much money on the table.<< They sell floppy for, what, about $20, while they sell the Zip for about $99. So the OEM gets $5 for every floppy and $29 for every Zip. Which adds more to the bottom line. Also, which adds more to sales? The Zip! It seems like Zip is win, win on these notes. Add to this the fact that the OEM is suplying the "HOT" item, and Zip seems to win all the way around. Where am I going wrong in this analysis? Jay LONG on IOMG

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