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Technology Stocks : Creative Labs (CREAF)
CREAF 0.448-12.1%12:59 PM EST

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To: OpenMind who wrote (13285)1/9/1999 5:52:00 PM
From: Fred Fahmy  Read Replies (3) of 13925
 
OM,

<It seems that CREAF's main cash cow, soundcards, will dry up soon>

Boy, that sounds very familiar. I have heard that exact same prediction for the last 4-5 years. At any rate, although sound is obviously important to CREAF, it is becoming less a percentage of the overall business. DVD, speakers, video, etc. have been increasing as a percentage of the overall business. In addition, SB-live isn't going to "dry up soon". The product was just announced and applications have just started to take advantage of its unique qualities. All indications are that it has been a screaming success and that demand is very strong for this card (and its value edition).

<Also what are the chances that CREAF can continue to take market share away from the video card leaders like ATI>

Considering that CREAF is coming from a relatively small market share base, I would say that they have plenty of share to gain. The real question is what are the chances that the people who currently have the largest market share can stop any further erosion.

FF
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