Apple Inc. 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 : Apple Inc.

AAPL 271.50

+1.9%

Nov 21 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: MeDroogies who wrote (22615)	1/18/1999 3:09:00 PM
From: Richard Habib	Read Replies (2) of 213173

So your friends have told you Apple may be in talks to buy SGI. You seem to think that's a good idea. I suppose your aware that since SGI is about 1/2 the size of AAPL, ballpark dilution of the stock together with the wariness of the street in joining two companies with such different cultures would likely drop AAPL stock to 32 or so. Second, I've been trying to see where the synergy is. Since SGI's products are based on a different processor and OS, I don't see where COG or R&D expenses would decrease although I suppose there would be savings in general admin expenses. It's possible SGI could adapt OS X for their workstations and Servers, abandoning IRIX - that might result in some economies. I can't see SGI switching over from it's MIPs processors to PPC - IBM is a direct competitor of SGI and it's never a prudent idea to rely on your competitor as a major source of your processors. Of course haven't even mentioned the fact that switching over to PPC would completely change SGIs product line which doesn't sound very feasible to me. I'd be interested to know why your friends think this is a feasible deal. Rich

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next