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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Sarmad Y. Hermiz who wrote (122377)	4/1/2001 9:18:33 PM
From: GST	Read Replies (1) \| Respond to of 164684

"a shakeout always leaves the survivors in better position. New entrants are discouraged, and demand catches up to supply" You are assuming a shakeout. Many firms cannot exit in certain industries -- I suspect this is one of them. As this segment of the semiconductors looks less terrible than others it is likely to attract new entrants far more quickly than old ones leave. Companies like intel will not back off. I believe demand is there, but these are commodity products and subject to cycles which are as likely to hurt sndk as much as anybody else -- that is why companies in cyclical industries tend to "sell at a discount to the market". The premium on tech stocks has been absurd -- p.s. I still might buy it for a trade, but not because I think it has great legs.