To: Scumbria who wrote (64060 ) 1/11/2001 8:36:36 AM From: blake_paterson Read Replies (2) | Respond to of 93625 yup, those DDR design win(ds) are really gaining a head of hot air: SECOND-TIER PC MAKERS ARE OUT ON A LEDGE: LACKING MAJOR BRAND NAMES OR POWERFUL CORPORATE PARENTS, SMALLER PLAYERS IN THE PC WORLD WILL HAVE A HARD TIME HANGING ON businessweek.com "….But market-share leaders Dell and Compaq clearly have the financial stamina and brand recognition to make it through what looks to be a rough year. But it could be considerably rougher for the likes of Micron, No. 11 in terms of PC shipments to North America. The company posted third-quarter earnings of 58 cents, missing Wall Street's expectations by two cents. Its stock has languished in the $30 to $40 range since mid-October, a far cry from its mid-July high of $97. Taiwanese computer manufacturer Acer Inc. is likewise losing ground (see BW, 1/15/00, "For Acer, a Bad Year Turns Brutal"). The company posted revenues of $2.52 billion for the first nine months of 2000, a 13.2% decline from the same period a year earlier. eMachines also missed its fourth-quarter estimates by a wide margin and is expecting to post losses of 19 cents to 23 per share. Tough times for the second tier began last year when they faced component shortages and found themselves frozen out while Intel took care of the bigger brand-name makers first. Meanwhile, the fatter profit margins enjoyed by white-box computer makers lured brand names into the lower-price market. While a top-name desktop computer typically has a 10% profit margin, a lesser-name machine could allow for a 17% profit margin, explains Richard March, senior director at Reality…." It's the battle between commoditized cr@p and value added. LOL JMHO BP