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Technology Stocks : SILICON STORAGE SSTI Flash Mem -- Ignore unavailable to you. Want to Upgrade?

To: docpaul who wrote (1006)	10/3/2000 2:09:27 AM
From: hueyone	Respond to of 1881

Hello Doc, Thanks for the SST royalty forecasts. They look very good!! Best, Huey

To: docpaul who wrote (1006)	10/3/2000 9:16:25 AM
From: Ausdauer	Respond to of 1881

Paul, Good Stuff! I guess I am surprised that management is willing to project licensing revenues out through 2002! Aus

To: docpaul who wrote (1006)	10/4/2000 11:04:16 PM
From: zx	Read Replies (1) \| Respond to of 1881

wanted to buy more ssti in the low 20's today but my isp's cisco 4700 broke and i could not get on-line. dell preannounced a 3% shortfall in revenues, europe lite again. good news about semi's but lots of earnings problems.

To: docpaul who wrote (1006)	10/5/2000 5:51:16 PM
From: docpaul	Read Replies (2) \| Respond to of 1881

Even more on competition with Winbond.. and some numbers I thought you all might be interested in a post I made on Yahoo this afternoon, lemme copy it here: ---- I thought I'd cheer longs up.. by: syntie 10/5/00 5:41 pm Msg: 42925 of 42925 and post one of the MANY little tidbits gleaned from the First Union 40 page thesis.. This is on market competition: ---- The overwhelming demand for flash memory has led to a marked improvement in the pricing environment in this market, benefitting all market participants. SST has also benefited from a change in the competitive landscape at the low-density end of the flash memory market. While many of the company's competitors experienced engineering limitations that prevented them from further reducing the cost of their lowest-density products, the demand for mid-density (16-64 Mbit) chips has experienced explosive growth (largely driven by the wireless handset market). As a result of rapidly scaling demand for mid-density flash product, several companies abandoned the low-density market to address the mid-density opportunity. Currently, SST dominates the low-density segment of the flash market, with minimal competition from Atmel or ST Microelectronics, which produce some of their products with densities less than 8 Mbit, and more agressive competition from Winbond (using SuperFlash technology) more on this below. --- Couple this with the numbers.. SST's market share in the <2Mbit market went from 20.1, to 32.4, to 43.1% in the most recent H1 2000. Their market share in the <8 Mbit total market went from 8.7 to 13.3 to 19.8 this most recent half! (this is all estimated by First Union) So.. there are a couple points to pick out.. first we know the competitors, and it appears as if Winbond was a significant competitor.. From the recent news release, biz.yahoo.com "As part of the settlement, Winbond has agreed to a consent judgment and does not contest the validity and appropriateness of SST's termination of the licensing agreement in June 1998. Winbond will also pay past due and ongoing royalties. Under the new license, Winbond is permitted to pursue the fast growing embedded flash market but is constrained by certain technology limitations and volume reduction for the memory products. In particular, SST's license to Winbond does not include SST-owned intellectual property after 1997. Winbond also will not be permitted to engage third parties for wafer foundry based on SST's technology, and will be allowed to continue foundry sales for a pre-existing customer only through March 2001. SST expects that the future royalties from this new licensing agreement will contribute significantly to SST's licensing income, due to Winbond's revenue size in nonvolatile memory and other embedded applications such as speech synthesizers, speech recognition devices, microcontrollers and personal communication devices." ---- Not only do we collect on our "significant" competitors market share, we prohibit them from ramping up production using our technology.. that's very important, and I can assure you that our profits will continue to escalate! We are without competition in the low density space, and our significant competitor in the fab plants has to pay us royalties! All the best, docpaul