S3 (A LONGER TERM PERSPECTIVE) Message Board

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Technology Stocks : S3 (A LONGER TERM PERSPECTIVE)

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May 12 5:00 PM EST

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To: stock talk who wrote (10803)	5/4/1998 2:57:00 PM
From: Synapsid	Read Replies (1) of 14577

What should one make of this: "Santa Clara, Calif., S3 said its Savage3D graphics accelerator will target the high-end of the PC gaming market. It is to begin shipping in small volumes in the third quarter, and production will increase to original equipment manufacturer volumes in next year's first quarter." 0.25 micron is new process technology. One could interpret the above as saying that high volumes will only start shipping in 1999. However, another source talked about high volume shipments in Q3. It sounds like a good mainstream chip for 1999, and seems to establish S3 as being capable of delivering high-performance 3D (although no benchmark or testing results have been published, no 3D Winbench numbers quoted in the press release). However, it doesn't yet appear to be a killer in terms of market share and revenues in the short term (1998). I wonder whether S3 will come up with a mid-range product in the next few months, or will it focus on bringing the Savage3D product to the mainstream as early as possible (early 1999)?

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