Skeeter, I cannot understand your logic (or rather lack of it).
>sridhar, stop assuming ;-) "big boys" referred to deep pockets, not >market share. is mu even in the top half of all dram producers as far >as deep poskets?
What is your definition of big boys? Companies with loads of debt (four times equity as is the case for samsung, hyundai, LG or is it companies that run a profitable business, and have ten percent world market share - MU). Anyway, the 'big boys' bearish stuff spouted here has little substance in reality. They have money only so far as the rest of the world (mainly the US banks) have the willingness to lend. Once that stops, as it has now, all they have left is a glorified garage sale for revenue generation.
Things like deep pockets (I assume profitability/low cost production is more relevant) ought to make micron bigger than any of the Koreans (or even the Japanese, who are in their umpteenth year of recession), at least when it comes to DRAM.
In the final analysis, it is the market place dynamics that rules. Those left standing at the end of all this brutal price decline will be the winners, and those, who are gasping for air, like the koreans, might soon find death a greater solace than survival.
Sridhar |
