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Technology Stocks : Ampex Corp: Digital Storage

AMPX 9.475

+2.7%

3:59 PM EST

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To: Lee Fredrickson who wrote (1848)	2/19/1997 11:57:00 AM
From: Gus	of 3256

On 9/23/96 Maxtor introduced its CrystalMax line of desktop drives to replace the 7000 series. On 2/18/97 Maxtor introduced the CrystalMax 1080 extension to the CrystalMax line (follow link): biz.yahoo.com The 1080 line consists of three TFI drives with an areal density of 1,080 Mb/platter compared to the areal density of 875 Mb/platter of the original CrystalMax drives: 2.1 Gb = 2 platters 3.2 Gb = 3 platters 4.3 Gb = 4 platters with MSRP of $399.99 Maxtor has scheduled volume shipments to begin in March 1997. Also, Maxtor is getting the additional areal density from the use of a DSP-based architecture and PRML channels. No keepered media yet. I think that this is positive news for several reasons: 1) Maxtor has introduced a new line of disk drives for the laptop (MobileMax), the enterprise (DiamondMax), and the desktop (CrystalMax and CrystalMax 1080) without a major hitch indicating that the IBM and HMTT engineers that Hyundai recruited to supervise the restructuring and expansion of Maxtor's manufacturing operations have been making significant progress. 2) The 1080 further underscores Hyundai's willingness to compete on price and capacity to gain market share. Some of you were skeptical about Maxtor and Hyundai's willingness to spend what it takes to grab market share. Well, pricing a 4.3 Gb disk drive under $400 at a time when the 4 GB and above disk drives are on allocation (see Dow Jones article below) should tell you something about Maxtor/Hyundai's strategy and the role that KM (and its 30-40% net capacity increase) will play in that strategy later this year when, not coincidentally, the computer makers sell about 40% of their boxes. techstocks.com Gus P.S. Rick & Lee, I actually forgot about Chelekis until Hugh pointed out that something was wrong so I did an EXCITE search to retrieve the link. Somehow I think he dilutes his insights by operating a web site called www.hot-stocks.com.

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