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Technology Stocks : 3DFX
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To: Patrick Grinsell who wrote (9782)12/18/1998 11:21:00 AM
From: Sun Tzu  Read Replies (4) of 16960
 
Hi Pat, sorry not to contribute as much as I like these days. I have too many deadlines to meet.Yes 3Dfx did have great retail sales this year, but very little of that was due to STB. Why do they think that they can do with even close to what they did with Creative, Diamond, Metabyte, and et all? Anyway my major questions still remain:

(a) will major retailers be willing to buy from STB in the same way they did from others?

(b) to what extent will the public avoid/delay purchase due to the relatively unknown name of the cards (and don't tell me that no one cared about the creative or diamond name; some people did)?

(c) how in the world will STB be able to ramp up production and support to even come close to the existing volumes?

(d) Europe is about 50% of sales. Who will represent and distribute 3Dfx cards there? I don't think STB has much of a presence there.

(e) I've heard a lot of comment about how great the retail sales have been. IMO, to good extent that was because Voodoo2 was rather unique and there was not a closely competing product. I can't say the same for Banshee or Voodoo3.

(f) Are there any out clauses in this merger and if so what are they?

(g) All my previous questions with regards to revenue growth and marketing game plan still remain unanswered.

Has anyone heard what the take is from Diamond or Creative analysts? Does anyone know the details of DLJ's report?

enquiring minds need to know
Sun Tzu
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