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 : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: KM who wrote (62199)	12/2/2000 10:09:09 AM
From: blake_paterson	Read Replies (2) \| Respond to of 93625

Truff-- Ref the post (from Artie Sinfonian on TMF) below; Micron's business culture puts the whole RMBS saga in perspective. The relentless PR disinformation campaign, the IP plagiarism, the approach to litigation. I can't think of a culture I'd rather go to war against. OTOH, looks like we might have 3 more months before the smoke clears... JMHO, BP <<From Forbes.com: The stakes keep getting bigger. To keep its marginal costs down Micron must spend on fixed costs--upwards of $2 billion to build a plant to make chips from 12-inch-diameter slices of silicon, rather than the 8 inches it uses now. But the company planned on paying for the upgraded equipment out of profits that may not materialize soon enough if DRAM prices stay depressed. and There's another challenge: lawsuits. In August Micron fired a preemptive strike against Rambus Inc., a small firm that owns (or claims to own) critical technology for speeding up the retrieval of bits from memory chips. In its lawsuit, Micron accuses Rambus of trying to collect royalties based on a patent claim derived in part from Rambus' involvement in an industry standards-setting group. Rambus returned the favor with a series of patent-infringement suits against Micron. The suit says as much about Micron's confidence in its own position as it does about the company's low-cost strategy. Paying royalties, even a minuscule percent of sales, upsets Micron's fanatical attention to costs, a survival strategy that has made it the last man standing among U.S. memory makers. But is pride more important than costs? In yet another lawsuit winding its way through federal court in Boise, two former engineers suing for slander related to their firings accuse Micron of wasting as much as $150 million a quarter in profits by taking too long to test and reduce the size of its chips. The two are seeking $7 million in damages. The lawsuit, filed last year, has its roots in the boardroom intrigue that has periodically engulfed the company and led to Appleton's brief firing in 1996. According to the suit, then-director Jerry M. Hess initiated a request in 1998 that prompted Micron employees to investigate whether there was any substance to continuing rumors about needless waste on the manufacturing line. Appleton's lack of top management experience, an ill-timed trade he planned of the company's stock--and even the fact that he had been living with a woman out of wedlock--had worried the board earlier, the plaintiffs contend. The employees faxed their thoughts to Hess about manufacturing problems and were fired a month later. Much more at: forbes.com PS I wish nothing but good for Mr. Appleton personally, but as a flight instructor with several thousand hours who has been flying for over 30 years, MHO is that this guy may roll that Hawker up in a little ball someday if he's not a lot more careful. I sincerely hope this never happens, but he seems to be an arrogant guy who pushes his luck at the wrong time and place, taking needless risks. Yet another type A guy with more financial resources than sense. Artie>>

To: KM who wrote (62199)	12/2/2000 12:58:01 PM
From: cellhigh	Read Replies (2) \| Respond to of 93625

i agree,the previous intermediate low was 132/133 hence blakes guess.that was about 5 points above 127 which i consider to be our breakout point for this whole run,thus i exstrapolate that 4to 5 pts above our 132/3 low should suffice here(barring a market event)ie 35/36.either way 176,todays price imo doesnt factor in as many agreements as we've had as we were at this price long before(if my memory)any royalty payments were agreed upon.ddrdram/sdram royalties are the kicker and are not factored in either imo. that spells a potential explosive move once we are out of the woods with the major market.the risk reward here is so out of whack that to wait to find a low to buy(long term holding)is silly.i am an aggressive buyer here.(on fri@43).