Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : COMS & the Ghost of USRX w/ other STUFF -- Ignore unavailable to you. Want to Upgrade?

To: David Lawrence who wrote (20465)	3/21/2000 11:47:00 AM
From: Moonray	Respond to of 22053

RESEARCH ALERT - ABN AMRO boosts Palm estimates Reuters - Tuesday March 21, 10:46 am Eastern Time CHICAGO, March 21 (Reuters) - ABN AMRO said Tuesday it raised earnings estimates and repeated a buy rating for Palm Inc. (NasdaqNM:PALM - news) based on sales estimates reported by its parent company 3Com Corp. (NasdaqNM:COMS - news). -- In a research note, ABN AMRO said that based on a 3Com earnings call, Palm's fiscal 2000 third quarter revenues totaled $272 million, up from ABN AMRO's estimate of $226 million. Operating income was estimated at $30 million before expenses, up from ABN AMRO's estimate of $15 million. -- ABN AMRO raised its earnings estimate for Palm to 12 cents in fiscal 2000 and 23 cents in fiscal 2001, up from 10 cents and 20 cents, respectively. -- Sales of Palm VII units are better than expected with positive implications for margins, ABN AMRO said. -- ABN AMRO also said 3Com moved the expected spinoff date of remaining Palm shares to 3Com shareholders to the August quarter from the November quarter. -- Shares of Palm were off 3-1/2 to 51-3/4 in morning trading. o~~~ O

To: David Lawrence who wrote (20465)	3/21/2000 1:10:00 PM
From: mr.mark	Read Replies (1) \| Respond to of 22053

"TheRodneyDangerfieldoftheModernHighTechnologyNetworkingSector.com or WeGetNoRespect.com" i heard that when eric benhamou was a little boy, he asked his father to take him ice skating and his father replied, "wait til it warms up". ba-boom

To: David Lawrence who wrote (20465)	3/21/2000 3:06:00 PM
From: Scrapps	Read Replies (2) \| Respond to of 22053

Aware?s Perspective of 3Com's Strategic Transformation 03/21/00 3Com Corporation announced yesterday that it plans to exit the high-end networking business and the dial-up modem business so that it can narrow its focus on high-speed Internet access for the consumer and small to medium-sized business markets. We view this development as positive for the DSL industry in that it validates the importance and size of the consumer DSL market. 3Com long ago recognized the enormous potential of the DSL market. A company of 3Com?s stature also increases the likelihood that the market will develop sooner and larger, particularly if it is focused. 3Com has had a history of differentiation by creating easy-to-use consumer products through vertical technology integration. When the DSL market began to unfold three years ago, 3Com decided to pursue the same objective with ADSL. In 1997, we licensed our ADSL technology to them for use in their ADSL product offerings. Their intention was to use our software and technology along with their technology and expertise to offer an easy-to-use ADSL modem. Today, 3Com uses ADSL chips from Alcatel, a non-Aware licensee, Analog Devices, an Aware licensee, and potentially others in their ADSL products. The 3Com/ADI ADSL modem is a field-proven product. 3Com has not publicly announced any products based on internally developed ADSL technology, and we are not making any such announcements in this perspective piece. In our opinion, 3Com?s focus on high-speed Internet access is terrific for the DSL market and positive for Aware. This commentary contains certain statements of a forward-looking nature relating to future events or the future financial performance of Aware. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include the risks that Aware has a new and unproven business model, that Aware depends on a limited number of licensees, that Aware depends on equipment companies to incorporate its technology, and that DSL technology competes with other technologies for broadband access. These and other risks are described in various filings that Aware has made with the Securities and Exchange Commission, which risks are incorporated herein by reference. aware.com

To: David Lawrence who wrote (20465)	3/21/2000 4:22:00 PM
From: Moonray	Read Replies (1) \| Respond to of 22053

S&P cuts 3Com corp credit to BB-plus from BBB (Press release provided by Standard & Poor's) Tuesday March 21, 3:28 pm Eastern Time NEW YORK, March 21 - Standard & Poor's today lowered its corporate credit rating on 3Com Corp. to double-'B'-plus from triple-'B' following the company's announced plan to restructure the business. The downgrade reflects 3Com's near-term product and earnings transition, as well as its less-certain longer-term position in higher growth but still emerging markets. The outlook is stable. 3Com intends to sell its analog modem product line to Accton Technology of Taiwan and NatSteel Electronics of Singapore; transition its large enterprise router and switch businesses operations to Extreme Networks Inc.; and exit its wide-area network (WAN) business. The modem product line is maturing, and the company has not leveraged its position in the core networking market against leader Cisco Systems Inc., Nortel Networks Inc., and others. Santa Clara, Calif.-based 3Com's business profile will now be focused on the ``middle to the edge' of the network. The product offering of maturing network interface adapter cards and related products, such as workgroup switches and hubs, remote access concentrator systems, and wireless services for telcos and service providers, focuses on building the company's presence in the emerging markets for cable and high-speed digital subscriber line (DSL) modems, home networking, and wireless access products. 3Com expects to leverage its extensive distribution channels and well-recognized brand name in these new markets. Following the company's recent initial public offering of Palm Inc., the announcement marks a major change in 3Com's focus. 3Com is expected to face aggressive competition in these rapidly evolving markets, while the underlying technologies, customer relationships, and distribution channels could shift dramatically in coming years. The company will take a $200 million to $300 million restructuring charge, of which about $150 million to $200 million is expected to be in cash. The remaining shares of Palm, the leading maker of hand-held organizers, will be distributed to shareholders in the quarter ending in August 2000. 3Com's sales have been flat due to aggressive competition and mix shifts in the adapter card and PC modem markets, offsetting some growth in the networking systems sector, while Palm sales doubled in the fiscal year ended May 1999. Operating margins have been in the mid-teens percentage area, and 3Com has $3 billion in net cash excluding proceeds of the Palm IPO. The company's realignment should position it to both accelerate its growth rate and pursue strategic initiatives towards building its position in its target markets as they expand in the next several years. OUTLOOK: STABLE The company's highly liquid balance sheet, with more than $3 billion in cash and no debt, is expected to support its operations over the next several years while allowing for acquisitions to complement its internally developed product lines. o~~~ O

To: David Lawrence who wrote (20465)	3/22/2000 7:09:00 PM
From: Moonray	Read Replies (1) \| Respond to of 22053

Silicon Investor for Palm is now available! Silicon Investor has launched a new Web Clipping application for the Palm Pilot VII! Post messages and exchange private messages with other StockTalk members anywhere you take your Palm Pilot. Download now to access your SubjectMarks, PeopleMarks, Portfolios and Inbox! Silicon Investor for Palm also includes quotes, charts, breaking news and market information. siliconinvestor.com o~~~ O