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Technology Stocks : GTIS - Will it be a Phoenix or not ?

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To: Chris McConnel who wrote (1744)3/13/1998 10:46:00 AM
From: RJC2006  Read Replies (1) of 2319
 
Chris: >>> So, in other words, GT will have lower future income because of what Gathering of Developers is doing. <<<

Scott: >>> Let me put it this way: I think that many developers who do not publish through Gathering will benefit from the information we've released publicly. This is certainly the feedback we've received. <<<

[[[[You are dancing around the issue, Scott. You're talking about Gathering and developers. What about GT?]]]

Chris, remember that GT is shifting away from outside publishers i.e. Cavedog as a good example. Bear in mind that future income isn't completely dependent on what the other guy is doing. Sure it is a part of it but the PC game market is growing. I don't think that it's too far off to think that almost half of American homes have a PC. The computer companies are now looking at 2nd home sales as a very lucrative market. Combine this with continued downward pricing pressure and the user base is sure to continue to spiral upward. The rate may slow but nonetheless it is upward. Classic case of supply and demand. As the base continues to grow, the demand grows with it. In effect the possibility exists that GT or any other company for that matter may not feel any effect at all from an increase in competition. So can a Gang of Developers kill off GT and other publishers....not bloody likely. Besides, GT Interactive is it's own worst enemy. They seem to have a knack for doing more damage to themselves then any Group of Developers could ever do!
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