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Technology Stocks : Silicon Graphics, Inc. (SGI)
SGI 91.10-2.0%3:59 PM EST
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To: Paul Jamerson who wrote (618)1/12/1997 1:31:00 AM
From: Michael I. Gold   of 14451
 
Paul's cynical speculation aside, very few people know the terms of the deal between Nintendo and SGI. My understanding is that SGI will receive royalties on both player and game sales; however the actual amount is a very closely guarded secret. A certain amount of royalties were pre-paid, in part to fund R&D. Therefore any impact on SGI's bottom line will not occur until sales exceed the pre-pays, and the original estimate placed this around Q4 '96 or Q1 '97.

This is, of course, unofficial rumour-mongering and should be evaluated accordingly.
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