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Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?

To: Yeagher who wrote (13320)	6/16/1999 4:17:00 PM
From: Harry J.	Read Replies (2) \| Respond to of 16960

Yeah, a couple which lead to a conclusion of sorts. (1) I'd expect TDFX mgt to spend more than a month digesting STBI before attempting to acquire and digest somebody bigger. (2) If it's a friendly meal, I'd expect S3 to wait to see if TDFX gets sick from STBI. (3) I was in London at the end of May and noticed that some rumors there about U.S. high tech stuff sometimes were "old news" to me, and I don't even work in the industry. (4) Pat G. wrote about this rumor (circa # 13200) after talking to TDFX, and the company denied it. My conclusion, perhaps erroneous, is that this rumor over there today is the rumor "we" talked about here last week. Regards, Harry PS - Doesn't mean I didn't enjoy hearing it again (hahaha).

To: Yeagher who wrote (13320)	6/17/1999 8:08:00 AM
From: Scott Garee	Read Replies (2) \| Respond to of 16960

Paired with the news from the NVidia thread that TDFX is likely testing UMC for production, my guess is they are in negotiations with S3 to buy some of their capacity at UMC's founderies. BTW: That posting on the NVDA thread was chock full of interesting tidbits. Any guesses on who's stiffing NVDA? Here's the whole post. Credit goes to Synapsid. Interesting excerpt from the just posted SEC 10Q document: Although we have not experienced any bad debt write-offs to date, we may be required to write off bad debt in the future, which could harm our business. In particular, we have had discussions with a major customer concerning the size of its obligation to us and the timing of payments. On June 9, 1999, we entered into an agreement with the customer to repurchase 428,572 shares of our common stock from them in settlement for a portion of then outstanding accounts receivable. Apparently, one customer (either Diamond, Creative or STBI/TDFX, who all invested into NVIDIA) has been reluctant or unable to pay its bills. Also mentioned is a $10 million payment to "a supplier" (presumably TSMC) for technology licensing. There's no definite statement about whether TSMC will be able to meet NVIDIA's capacity requirements. According to a UMC press release, the top four graphics chip companies have been taping out test chips on its 0.18 micron process recently. This seems to imply that NVIDIA or TDFX may utilize UMC in the future. It all depends on the definition of "top four" though.