SI
SI
discoversearch

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.
Non-Tech : Any info about Iomega (IOM)?
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Cogito who wrote (41140)12/21/1997 4:23:00 PM
From: Bearded One  Read Replies (3) of 58324
 
It doesn't matter whether Mr. Y buys as many disks as Mr. X. Since both of them are buying SOME disks, the total number of disks sold increases, along with revenues.

Of course it matters. If Iomega lost money on the sale to Mr. Y, then Mr. Y has to purchase enough disks to recoup the losses. "SOME" disks may not be enough.

Iomega loses $10-$12 for each OEM drive sold. Thats from the conference call. They have to make it up in disk sales. Not SOME disk sales, but enough disk sales.

Sony's costs may or not be higher. They are in Asia, after all and benefit from the weakened Yen. They also probably have lower ramp-up costs because of all the machinery they already own. Not to mention their expertise in consumer technology, semi-captive market in Japan, PC unit which will use their HiFD technology....
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News