To: Mani1 who wrote (3428 ) 11/17/1999 6:23:00 PM From: Mad2 Respond to
Earnings and revenue were very good. Margin suffered some (???yeald, exchange, cost, start up????). All in all I expect NMGC should fare well given strategy for new products, and graphic's chip upgrades that NMGC represents will give them a lead for a few quarters to a few years.The company has started making initial deliveries of the MagicMedia256XL+ to key customers, and is ramping production for Q1. However, prior quarters' delays in bringing this product to production have affected the company's efforts to secure design-wins in new notebook computers developed during the summer and fall timeframes. This is expected to cause erosion in the company's unit volume market share through the second quarter of the coming year. We have now shipped more than 20 million chips using our MagicWare embedded DRAM technology. The notebook market has spoken of its preference for the combination of high performance, small size, and low power that this technology can provide,'' Mr. Agarwal noted, adding, ''We have now added a hardware 3D pipeline to our embedded DRAM integration. We expect that we will be the only semiconductor company deploying this level of technology for notebook multimedia for a period of at least several quarters, and perhaps several years.'' ''Infineon Technologies has been developing advanced memory manufacturing technologies since 1989,'' said Soeren Hein, director of marketing for the Embedded DRAM group at Infineon Technologies. ''Infineon Technologies has become a major manufacturer of advanced DRAM chips and is deploying its latest 0.24-micron and 0.20-micron technologies for the NeoMagic embedded DRAM manufacturing program. Our manufacturing relationship with NeoMagic positions Infineon as a source of competitive advantage to NeoMagic in a fast moving marketplace. To help them maintain their technological lead with embedded DRAM products, our job is to supply technical, quality and logistical advantages necessary for continued success.'' In just three years of production, NeoMagic has shipped over twenty million embedded DRAM multimedia accelerators to leading notebook PC manufacturers. To date, the majority of NeoMagic's production capacity has come from Japan, provided by long-term business partner Mitsubishi Electric Corporation, with Toshiba Semiconductor added in 1998. Infineon's global manufacturing capabilities diversify NeoMagic's overall supply pipeline. This added European capacity is important as NeoMagic moves into markets beyond notebook multimedia accelerators, including digital cameras, DVD drives and recorders, as well as other market opportunities driven by the trends towards multimedia, mobility and the Internet. biz.yahoo.com
