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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: orkrious who wrote (6576)	8/3/1999 9:39:00 AM
From: SBHX	Read Replies (2) \| Respond to of 60323

If the supply shortage is industry wide, then they should be ok and their products will cost more, which depresses demand temporarily, if they have a competitor that has better supply contracts and they don't have a shortage then they have a problem. I don't see this happening though, since by all accounts, in the consumer high-density flashram area, I can't think of bigger customer than these guys. I finally got my nikon 950 digicam : it comes with a tiny nikon 8MB CF and if you look at the back, it says SanDisk. I expect most of the CFs sold are probably the same. However, these shortages in commodity memory are never as severe or last as long as people think. If they do, speculators could buy flashram futures and make a killing. Why can't this be done ? Unlike pork-bellies and OJs, these Si commodities are a bottomless well in terms of potential supply. Any shortage should be over in a matter of weeks. Eg : a fab in ireland that was shut down could tool up again because flashram was so profitable. The only times they were successful in the past turned out to be due to manipulation with some people hoarding these things for a few months. This is now dangerous as faster and higher density Si are produced, making the older parts cheaper and cheaper. Can they have explosive growth with constrained raw materials supply?