Tom, first off good points no doubt, but what you are betting against is the technology revolution and the fact that technology, software, etc. will get faster and more complex. As for me, my friend, I will never bet against that happening!! Did you read the news about some engineers developing a chemical computer that will be much faster than what we have now!?!? And how they will be able to design "non-perfect" chips much differently than we do today. Amazing stuff, but just a glimpse into the future.
Importantly, you asked what the royalty to RMBS may be....The royalty paid to RMBS is 2%...Understand that I do not fully understand how this will play out, so please help me, but if someone is buying $100 worth of DRAM now (retail) then what is the wholesale price to the OEM? $85 (just a stab in the dark), then RMBS would receive 2% of that or $1.70? based upon each RDRAM chip shipped! The prices may be wrong but is the reasoning correct? If not, I would love for someone to lay it out for me and the thread, lord knows I am not a techie, just know enough to lose money <vbg>
So, is $1.70 added cost for RDRAM really that damaging? Is this 2% what we are all worried about for superior performance?
MileHigh |
