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Non-Tech : The New Iomega '2000' Discussion Group -- Ignore unavailable to you. Want to Upgrade?

To: Cogito who wrote (835)	6/19/1999 12:56:00 PM
From: Rocky Reid	Read Replies (1) \| Respond to of 5023

>>BTW, didn't you post a long time ago that Iomega should put their brand on a CD-RW drive? << Yes, I believe I did. But if you read that post, you also would have noticed that I mentioned that this would be a signal that Iomega is entering SURVIVAL MODE = Low margins. Iomega's new strategy, as I said before in that post you refer to, is to SURVIVE-- NOT THRIVE. And IOM's Book Value is currently $1.56 and about to be revised downward. Survival Mode means a stock price much closer to Book Value. In order to stay in business, Iomega is now dealing with pure-commodity products- but this is unfortunately what Iomega must do. The stock price will soon reflect IOM's new phase of existence... SURVIVE... NOT THRIVE.

To: Cogito who wrote (835)	6/19/1999 2:00:00 PM
From: Rocky Reid	Respond to of 5023

Now that Iomega is officially moving into the pure-commodity arena, let's take a look at Iomega's new direct competition. At www.pricewatch.com, the competing class of CD-RW drives (24x4x4) all sell for around $300, and include brand names like: Yamaha, Hewlett Packard, Mitsumi, Plextor, Smart & Friendly, Ricoh, Acer, Sony, Philips, etc. etc etc... Good luck Iomega. Most of of these companies have plenty of other completely different product lines to supplement their low margin CD-RW business. Iomega faithful now have every reason not to buy Zip and Jaz drives, but to buy a low margin CD-RW drive instead, and still remain faithful to the Iomega brand name. Iomaniacs, Welcome to Survival Mode.