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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: RocketMan who wrote (14699)	1/9/2000 1:46:00 PM
From: FLSTF97	Respond to of 54805

And if not, is cree betting on their remaining business, transistors, high power, rad-hard applications, etc, to make it a winner? I don't know if CREE is, but I am! I really don't know how large the market for blue LEDs is but it is safe to assume it is several orders of magnitude larger than the quantity being sold today. I see this as a nice stepping stone for Cree. The market is big enough that they (and the customers of the raw wafers: HP?, Siemens?) can't fulfill demand. Consider the blue LED market as a "Dust Devil" surrounding the lead bowling pin. Even if the device itself becomes commoditized (I think and hope that it does!)Cree has a very unique position in that they are best able to supply the raw material. I think with CREE's patent portfolio, they may be able to protect this segment to extract nice margins for quite sometime. I see this "dust devil" as the catalyst for allowing CREE to get to the stage of implementing their proprietary architecture (device designs in SiC) and thereby create something more like Force 10 winds. I would also add that in the case of supplying the raw material, that is not QCOM or GMST like model, but the second example could be. I don't think anybody here should mistake a little bit of dust blowing around a commoditizable item as a real tornado. However...it may be an early warning signal. It'll be fun to watch. Fatboy