Silicon Investor (SI) -- The First Internet Community

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.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Don Lloyd who wrote (61749)	6/8/1999 9:53:00 PM
From: Skeeter Bug	Read Replies (1) \| Respond to of 132070

>>If Intel motherboards and chip sets were only to support Rambus, or if Intel were to offset the additional cost of the memory chips by discounting the combination of motherboards, chip sets and processors, then Rambus parts would be used to some degree.<< the asps of computers would increase. this is akin to cutting off your nose to spite your face. >> The economics are different for RMBS and the actual memory chip producers. It is easy to imagine large (for RMBS) RMBS revenues and low capital costs at the same time that the memory chip producers are bleeding red ink.<< so, i'm a mem mfr. i'm bleeding ink. why would i choose to bleed more red ink by selling rmbs? there is no reason.

To: Don Lloyd who wrote (61749)	6/8/1999 10:41:00 PM
From: Earlie	Read Replies (1) \| Respond to of 132070

Don: We need to have alternative thinking around to keep all of us honest. It's appreciated. That said, given the many negative facts that intrude, it is difficult to see the PC industry adapting this technology WITHOUT the Intel subsidy, and while it is a big company, it isn't a government, so there are limits to how much of a subsidy Intel can shoulder. My own major concern is that Rambus just doesn't fit into the bottom end of the PC sales spectrum and that is where most of the sales are occurring. I actually do see it as exactly like Iridium. My early negative call on Iridium (and I think I was the first) related to the fact that we just couldn't see the company being able to find enough customers who would pay inflated prices for a system that provides only marginal additional benefits to what was already available, This is exactly the problem for Rambus. Being a bit of a cynic, I need somebody to show me where the customers are for this technology. I can't see them. M.S. thinks they can beat up on the shorts, and maybe they can for a while, but the real question is, why is there such a big and persistent short position? It's because the shorts have done their homework and strongly think this company is dead meat. They are much more frequently accurate than are the bulls in these types of situations. I still appreciate reading and responding to your note best, Earlie