>You have some of the most creative and informative POSTS.
Thanks for the compliment. But the real issue is whether my "creative" posts are RIGHT. I think so, but what I am really hoping for is to get a rise out of some well-informed person who thinks I am WRONG.
>There just one more thing.... I don't understand why you own
>both NSCP and MSFT ... Hedge??? Which one???
The short answers to your questions are:
1. Yes.
2. Both.
The long answer is:
I own both because I respect the managements of both. I don't know much about technology, so I try to go on the basis of which company has the best management. I also try to find some indication that whatever company I invest in is able to exploit some sort of legally permissible monopoly, either because of brand identity or because of the nature of its products. I think Microsoft and Netscape both fit this requirement. I think the fact DOJ is always on Microsoft's case is proof this is true for Microsoft, and hence good news for the company's investors.
Even though everyone loves to hate Bill Gates, I have to respect his business acumen. He was lucky, but he knew how to capitalize on that luck beyond anyone's wildest expectations. Not everyone would know how to do that. He has said publicly that his best friend is Warren Buffett, who I also respect. I have no doubt that Warren gives Bill plenty of good advice.
Netscape's management includes equally well-regarded heavies: Clark of Silicon Graphics, Barksdale of Federal Express, MarcA, etc., although they still have to prove themselves in this arena -- which I think they will.
As for hedging, it just seems like, when one is going up, the other is going down.
I, for one, do not think that there is only room in this world for one or the other of these fine companies. Maybe in some markets that is the case, but, overall, I hope and expect they will both do well. |
