ATI Technologies in 1997 (T.ATY) Message Board

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Technology Stocks : ATI Technologies in 1997 (T.ATY)

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To: Stocker who wrote (3177)	4/19/1999 12:25:00 PM
From: NTT	Read Replies (1) of 5927

>>> ATI may have to lower prices (and margins) to stay competitive. <<< I think the one thing to keep in mind is that ATI is the best equipped company out of all of its competitors for cost reduction. This is why it has been number 1 all this time. I keep stressing that it's not the performance of the RageII and RagePro which made it the number 1 chip for OEMs. It was the price/performance ratio. Now with the Rage128 being a top level performer and priced extremely aggressively, ATI can maintain this stranglehold on the market. In house board manufacturing, large holder in Fab, inhouse hardware and driver developement, in house application software development and economies of scale by being the volume leader by far. If it's anyone who has to worry about pricing pressures, it's the competition, not ATI. S3 used to be the king in this arena but nobody wants the S3 Virge anymore. Their only salvation is Savage3/4 but OEM's are not eager to pick them up because of S3's poor performance recently. What large corporation will put large volume orders on a company which could fold at any time?

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