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Technology Stocks : Inktomi (INKT) -- Ignore unavailable to you. Want to Upgrade?


To: Craig A who wrote (1508)7/21/1999 1:32:00 AM
From: Sepster  Read Replies (1) | Respond to of 1945
 
Is anyone aware of a secondary offering of 3 mil shares or so?

Sepster



To: Craig A who wrote (1508)7/28/1999 1:35:00 PM
From: Bearded One  Read Replies (1) | Respond to of 1945
 
Man, this article reads like a college essay!

Here's some problems with it:

Proprietary Products = Barriers to Entry

Well, uh, no. Consider the title of the very next paragraph:

Competition

Let's look at the paragraph itself:

Inktomi's network cache products are currently the cream of the crop. Network Appliance recently dropped out of a face-off of its products versus Traffic Server.


Actually, here are the results from the First Semi-Annual Web Caching Bake-off:

bakeoff.ircache.net

Inktomi dropped out of the contest! InfoLibria and Novell did the best.

The best validation of the quality of Inktomi's solution is that it is used by America Online, currently the highest traffic generating service in the world.

A foolish leap of logic that many 'analyst/promoters' make.
Inktomi was one of the first to market, and AOL was one of the first consumers of this product. That's an alternate reason that AOL currently uses Inktomi's products.

Novell just came out with a product that they claim is several times faster than Inktomi's product, is one tenth the cost, and requires much less maintenance. Compaq and Dell are partners in this. Read all about it on page B4 of todays Wall Street Journal.

Inktomi has at most one more quarter of increasing revenues from its caching products. Then it will have to slash prices.