The New QLogic (ANCR) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : The New QLogic (ANCR)

QLGC 16.07

0.0%

Aug 24 5:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: J Fieb who wrote (19795)	12/15/1998 2:06:00 PM
From: Technocrat	Read Replies (3) of 29386

Ancor and SGI partnering is not a big secret in my opinion. The testbed seems to have been running for quite some time. What this announcement does is solidify the technical specifications of the Ancor switch. The NDA bull was so thick and heavy that rumors were allowed to float around that Ancor had laid an egg. I'm telling you---they had me worried on this one. The NCSA, U of Minnesota, and LANL triangle is not a coincidence since the exact same technical folks are on these projects. SGI is very closely connected to these folks as well. Ancor will not score bodacious bread for this set of applications but got a Good Housekeeping Seal of Approval. The engineers in the groups we are talking about are some of the most demanding in the industry. Years ago, there was a meeting where they told Sun co-founder Bill Joy to his face that the company's hardware was "junk" not worth considering seriously :-) I have owned SGI stock for a long time (to the harm of my pocketbook) so I watch the company closely. Nobody gripes too much about the performance or engineering quality of SGI hardware but sales remained flat for about nine quarters. Stockholders canned the CEO and hired the #2 out of HP. CEO has not stopped talking about NT from the day he entered the door. The movie making video business is always been in the SGI domain. But sales in that industry slumped the last two years. The money is roughly like university sales. I would not count on big bucks here. PR is all it gets you. Digital TV is a looooooong ways off. SGI is taking a huge gamble, but given the state of affairs, no one can fault them. They are entering in the high-end PC, NT marketplace with their Visual PC. It is late by a quarter. Expect a big rollout in Q1 of 1999 which is reflected in the Salomon slides dated in September. If SGI can score a hit like the iMac then we could see some significant sales. If not, then SGI is doomed to pull a DEC maneuver. SAN will generate sales in the server side of SGI. The fanfare of the Visual PC could make a difference in exposure to the computer center directors who wear IBM buttons on their suits as accessories :-) In summary, SGI's future is what is in doubt by Wall Street, not Ancor's in particular. There have been consistent rumors that HP would take them out for a few billion.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next