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Technology Stocks : Citrix Systems (CTXS) -- Ignore unavailable to you. Want to Upgrade?

To: JMD who wrote (7997)	5/7/2000 10:29:00 PM
From: jhg_in_kc	Read Replies (1) \| Respond to of 9068

<. I think the IBM/Citrix announcement has been lost in the stock massacre--> what was it. I have forgotten or missed it. tia.

To: JMD who wrote (7997)	5/7/2000 11:49:00 PM
From: Heeren Pathak	Read Replies (1) \| Respond to of 9068

Mike, Here is the chain of logic between to dot.com retail to the ASP market to Citrix. It is a bit of a stretch, but I do think it could impact how quickly Citrix will start generating real return on its ASP investments. 1) Dot.com retailers are losing money and the market is worried about their survival. This worry is causing the dot.com IPO market to start drying up for weaker offerings. In fact, I would go as far as to say that the IPO market for non-profitable dot.coms may become totally non-existance. This would have a very chilling effect. 2) On the surface, ASPs are dot.com companies. While I do believe that their revenue streams and stickiness factor will be higher than a typical dot.com retailer. I also believe the market will not distingish this difference. 3) I believe that ASPs will have a long rampup time as they convince a business oursource functions to an ASP provider. This will require them to obtain capital to stay afloat. 4) If the dot.com and IPO markets remain out of favor for any appreciable length of time, ASPs may find it difficult to find the capital they need to keep going (either via the market or via a VC). While the VC community has a lot of money floating around, they are going to be a lot more stingy if they feel that they can't quickly convert their equity into capital via an IPO. 5) Citrix has invested a lot of equity to get the ASP market started. If the ASP market has trouble taking off due to financial reasons, it would impact the future ASP revenues that Citrix is betting on. Heeren

To: JMD who wrote (7997)	5/8/2000 12:08:00 AM
From: Heeren Pathak	Read Replies (3) \| Respond to of 9068

Mike, Regarding Citrix primary market.... While the current market is the corporate internet, I do believe Citrix views the general Internet/ASP market as the place for future growth. There is no reason why it couldn't be used in such an environment. The reason for my belief is that Citrix is taking a very active role in ASP-related conferences and seems to be making a real investment in that market. They have taken some positive steps in making their pricing structure ASP friendly and it looks like they are trying to also develop products to support interactive ASP apps. The IBM annoucement is nice... but it doesn't necessary help reassure the customer that the Internet is secure and accessible. The recent DOS attacks show how easily a web-site could be taken down by an relative novice. As a business owner, would you put a critical business function on the Internet and place your business at risk if the site went down? This question needs to be handled since it is at the source of people's uneasiness. I think over time, confidence will growth. However, I don't believe the decision can be hurried. *** Note, the statements below are VERY SPECULATIVE *** Actually, the annoucement that I viewed with most interest wasn't the IBM annoucement. Instead, the Psion annoucement really perked my interest. As I stated earlier, Citrix's solution could be viewed as a proprietary, universal browser solution. The Psion annoucement was interesting since they are heavily into the telecom space. With them partnering with Citrix, it could open up the possiblity of Citrix becoming embedded inside a cell phone via Psion's Symbian relationship. The current thought seems to be that cell phone will merge with PDA (like the Palm or Windows CE). Users will be required to install new apps to use different software. With the Citrix partnership, it become possible for Psion to deliver an architecture where applications can be automatically managed on a server and run on a phone. This picture become even more compelling if you consider the 3G wireless and the HDR technology that Qualcomm is developing. These advances have the possibility of converting a wireless phone from a low-bandwith / low fidelity device to a contect-rich media appliation. The really cool thing is that with Citrix, new apps need only to be deployed at a central server and automatically deployed to phone via ICA. Of course, these ideas will require atleast 3-4 years to become reality. However, the possibilities are mind blowing! Heeren