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Technology Stocks : Silicon Graphics, Inc. (SGI) -- Ignore unavailable to you. Want to Upgrade?

To: AustinPowersIII who wrote (7980)	10/8/2000 5:37:46 PM
From: AustinPowersIII	Respond to of 14451

<font color=green> GREENS FIRST POST HERE ON SGI!God spoke to him!! From: Don Green Friday, post#4170 12:31 AM ET QUOTE!!!! "God has Spoken!!! BUSINESS WEEK ONLINE January 22, 1998 businessweek.com Edited by Douglas Harbrecht SGI NABS HP HOTSHOT RICK BELLUZO AS ITS NEW CHIEF Troubled Silicon Graphics Inc. is about to get a big helping hand. On Friday morning, insiders say, the computer maker will announce it's hiring Richard E. Belluzo, the hard-charging No. 2 executive at Hewlett-Packard Co., as its new chairman, chief executive, and president. Sources say the company courted Belluzzo, 44, for months after Chairman and CEO Edward R. McCracken offered to step down last October following nearly two years of earnings disappointments and other problems. Belluzzo, who's expected to start Monday, likely will be seen as a coup for SGI. An executive vice-president in charge of HP's computer organization, he was considered a prime candidate to succeed HP CEO Lewis E. Platt whenever he retired. A 22-year veteran of HP, Belluzzo worked his way up from an accountant to help turn its printer operation into a profit powerhouse that leads the market. Belluzo is also credited with helping HP move whole-hog into the personal computer business, leading to his 1995 appointment as executive vice-president in charge of all of HP's computer operations. Belluzzo will have his work cut out for him. His big challenge: Pull off what amounts to a huge corporate transformation before SGI is eclipsed by rivals and hammered into irrelevance for good. And after all the disappointments of the past two years -- late products, earnings shortfalls, and an exodus of talent -- many observers are doubtful. "SGI's strategy is sensible, but I have zero confidence they can make it work," Hambrecht & Quist analyst Doug van Dorsten said before the CEO announcement. Still, SGI has been showing signs of life. It promised in December to start making computers based on Microsoft's Windows NT software later this year -- a move that could lower its costs and broaden its market. In March, insiders say, it's likely to start spinning off its MIPS Group chip-design unit for an initial public offering. MIPS makes the whizzy microprocessors used in SGI workstations and millions of Sony and Nintendo videogame players. It may also sell one or more of its graphics software subsidiaries, most likely its Cosmo Software unit, which makes 3D modeling programs. Belluzzo will have a lot of hiring to do, too: Hundreds of engineers have left in the past two years or have resumes out now. And managers continue to jump ship from SGI's already depleted ranks, which have been without a CFO or head of sales for months. Dan Vivoli, vice-president for desktop marketing, left last month for PC graphics startup NVIDIA Corp. Ron Bernal, senior vice-president for SGI's high-end server computers, will depart by month's end. One recent refugee grimly dubs his departure "Escape from SGI -- it's actually a new disaster flick." Most of all, Belluzzo will have to make sure SGI doesn't lose more ground in its markets. One large customer is still using SGI machines but is rewriting all its own software for Windows NT. Says its president: "They're way, way too late to be the player they should have been in the PC graphics market." Meanwhile, Sun and HP are targeting SGI's customers with increasingly powerful machines. At the least, Belluzzo should shake up a company that has been rudderless and slow to get things done. Indeed, employees have been joking among themselves that McCracken's best replacement would be a lava lamp. Why? Because it moves faster than SGI management. It's a good bet they won't say the same thing about Belluzzo. Robert D. Hof, Linda Himelstein, and Peter Burrows in San Mateo, Calif"