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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED -- Ignore unavailable to you. Want to Upgrade?

To: Jim Willie CB who wrote (6364)	10/6/2000 10:22:19 PM
From: Dealer	Respond to of 65232

SSTI--Stolen from SSTI thread Embedded product future and discussions on "commodities" Both snips are from the recent First Union recommendation: Regarding the rampup of it's embedded products / licensing: "Superflash technology has already been licensed to several leading semiconductor manufacturers, including TSMC, Sanyo, Samsung, Seiko Epson, Motorola, and National Semi. SST intends to pursue the penetration of embedded flash applications by openly licensing SuperFlash technology to leading semiconductor manufacturers, and by enhancing the technology to function with higher-density and higher-complexity requirements. SST has indicated that more than 100 ICs (integrated circuits) from more than 50 leading Semiconductor companies have now been designed using embedded SuperFlash technology. As production of these products begins to ramp during H2 2000 and 2001, we expect that the company's stream of royalty revenue from these licensing activities will experience corresponding growth." --- Commodity nature of what? :) "In order to avoid commoditization and reduce dependence on the success of a particular end market, the company is rapidly introducing new products and solutions to meet the specific needs of an expanding range of target markets. During 1998, SST introduced approximately nine new products. During 1999, SST introduced roughly 29 new products, and it has introduced approximately 13 new products during the H1 2000. The company plans to introduce around 30 new products during 2000 and more than 30 during 2001 (wow!). During Q2 2000, roughly 80% of the company's revenue was derived from products introduced since H2 1998, compared with 27% during Q2 1999. As a result for the overwhelming demand for SST's newly introduced products, revenues in Q2 2000 quadrupled compared to revenues in Q2 1999. Additionally, more than 4% of revenue was provided by application-specific products for which competition is quite limited. SST intends to seek new and emerging market segments continually (such as automotive computing, digital video, GPS applications, and electronic books and toys) that could utilize its advanced flash memory solutions. We believe that as the company continues to introduce new products penetrating additional markets, a slowdown in any particular market will have an increasingly less significant impact upon SST's operating results." Hope you folks enjoy the sweet sounds of this text. :) Cheers!