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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Proud_Infidel who wrote (36521)	8/10/2000 9:55:48 AM
From: Ian@SI	Read Replies (1) \| Respond to of 70976

Brian, Microchip Tech is another example of the health of this cycle. From the AMAT conf call, it's apparent that the capacity build is going to continue for at least another 1-2 years in addition to the technology buys that are happening. 1. Foundries are expanding as fast as they can, yet remain unable to meet demand from their customers. 2. IDMs which had hoped to offload excess demand to foundries aren't getting the wafer allotment they need; and are now placing orders for their own capacity expansion. 3. DRAM industry has been fighting the last battle (over-investment leading to over capacity). They've got a decisive victory this time and are walking into the "mother of all DRAM shortages". Signs that their Boards have opened up the purse strings are now apparent int he orders AMAT is receiving. IMO, there's no question. 2001 will be another record growth year for the Equipment sector. And my opinion is worth a lot more than Slimey Balarney's. :-) Ian.