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 : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: J Fieb who wrote (27084)	5/22/2000 6:57:00 PM
From: J Fieb	Respond to of 29386

For the archives, which already have more than their fair share of stuff for Rilpley's Believe it or Not...... Monday May 22 5:02 PM ET Brocade Shares Off As Analysts Spar NEW YORK (Reuters) - Shares of Brocade Communications Systems Inc. (NasdaqNM:BRCD - news) fell as much as 13 percent on Monday after a brokerage ratings downgrade erupted into a rare public spat between two analysts over the company's outlook. Brocade recovered to close down 15/16 to 109-5/16 on Nasdaq, after falling more than 14 points to 96-1/4. The shares have crumbled from a record close of 179 at the end of March. U.S. Bancorp Piper Jaffray analyst Ashok Kumar on Monday cut his rating on Brocade to neutral from accumulate, based on the launch of a product by rival Nishan Systems of San Jose, Calif. ``The fat lady sings,'' Kumar said in a brief research note about Brocade, which makes switches and software for the computer networks used to store vast amounts of digital data in offices. However, Bear Stearns analyst Shaw Wu said in a statement that Kumar's downgrade amounted to ``more of a personal vendetta'' against Brocade than a change in fundamentals. Wu said Kumar's comments were the latest in a series of broadsides that Kumar and Brocade have launched at each other in the past. ``The Piper Jaffray analyst and Brocade have publicly tried to smear one another in the past,'' Wu said. ``So this isn't the first time.'' When contacted by Reuters, Wu declined to comment further on the issue. Piper Jaffray's Kumar did not return calls for comment. In his report, Kumar highlighted Nishan's launch of competing equipment that incorporates both Internet and old-line Ethernet networking standards for moving data around offices. He said privately held Nishan had signed investment agreements ''with a number of the world's leading storage and computer companies.'' ``These investments bring Nishan's total funding from leading corporations and venture capital institutions to over $40 million,'' Nishan said. Wu, however, retorted that Nishan's technology ``is more a concept than anything,'' adding that he believes Brocade's technology will remain the preferred technology for the next two or three years. ``This is not a new debate,'' Wu said. ``Again, we see the technologies as complementary and for different markets.'' . -------------------------------------------------------------------------------- Kumar too close to this issue, for some reason? He's not much different than many of us I guess. Is he stepping beyond the bounds permitted analysts. KLee- What's go'in on in your opinion?

To: J Fieb who wrote (27084)	5/22/2000 7:05:00 PM
From: J Fieb	Read Replies (1) \| Respond to of 29386

How long would it take a team of 5 smart engineers to do the work that has been done thus far for FC-SANs? Better start cross-pollinating....... Acquisition may signal SAN trend By Sonia R. Lelii, eWEEK May 22, 2000 12:00 AM ET Qlogic Corp.'s $1.7 billion acquisition of Ancor Communications Inc. this month was the first of its kind, but it may not be the last. The marriage between a host bus adapter company and a switch company was made for one simple reason: The market for host bus adapters in the SAN (storage area network) component business is expected to grow more slowly than the rest of the market in the next few years. The SAN component market is expected to increase from last year's $500 million to $4.5 billion in 2003. But host bus adapters will shrink from 49 percent of that market last year to 38 percent in 2003, according to International Data Corp., of Framingham, Mass. Infiniband looms One reason for that decline is Infiniband, the switched-fabric initiative led by Intel Corp. and major systems makers IBM, Compaq Computer Corp. and Hewlett-Packard Co. When Infiniband products hit the market next year, they will decrease the need for host bus adapters, which convert signals from the PCI bus to Fibre Channel or SCSI protocols. Analysts and competitors questioned QLogic's choice to move from a smooth relationship with the five major switch manufacturers into one in which four of them become competitors. "I'm not quite sure I understand the logic behind what they are doing," said John Webster, an analyst with Illuminata Inc., of Nashua, N.H. But according to QLogic officials, this is just a sign of the young host bus adapter and switch business growing up. "When you mature, you start cross-pollinating," said Skip Jones, director of planning and technology at QLogic, of Aliso Viejo, Calif. "This is a new kind of merger, so it is going to cause a knee-jerk reaction." E2020-You sounded downright enthused after the SSB storage conference? What's your take on recent events?