Andrew,
I looked long & hard at IDTI, as it's one of your picks. I like the philosophy behind the Winchip, but I can't shrug off the feeling that they will get creamed going head to head with Intel. Consumers should be grateful, as along with AMD and NSM, they are driving down the hardware cost of computing far faster than Intel would have allowed it to happen. Competition is going to be furious, and there are just too many ways for them to lose money (many of which are outlined in the 10K).
I'm not hyping ARMHY here, as the stock is pretty pricey. However, I believe their business model - stay fabless, and get onto the 900lb gorillas' team rather than try compete with them - is much more sensible.
If IDTI were concentrating on the telecoms business (cf their MIPS derived chip), I would be a lot happier, as upstarts seem to have more of a chance in this market - look at 'plucky British minnow' Psion's deal with Nokia, Ericsson & MOT.
I still hope you're right, but I'm not buying.
Nig |
