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Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: StanX Long who wrote (407)	11/9/2001 2:13:39 PM
From: Proud_Infidel	Respond to of 25522

Dataquest, VLSI Research reduces forecast for chip-equipment in 2002 Semiconductor Business News (11/09/01 13:44 p.m. EST) SAN FRANCISCO -- Here's more dismal news for suppliers of semiconductor equipment: Two major market research houses--Dataquest Inc. and VLSI Research Inc.--are quietly lowering their respective forecasts for this industry in 2002. Already hit hard by the sharp IC downturn, the worldwide chip-equipment market is projected to fall by 30% in 2001 over 2001, according to Dataquest of San Jose. In 2002, Dataquest originally projected that the chip-equipment market would rebound to some degree and fall by only 10%. But now, the market research firm is reportedly looking to lower that forecast to a decline of 20% next year, sources said. Others are not so bleak. Originally, VSLI Research projected that the semiconductor-equipment market would grow 10% in 2002. Now, VSLI Research projects only 3-4% growth in 2002, which is still a major improvement over this year, said Risto Puhakka, who tracks the chip-equipment market for the San Jose-based company. "Business will pick up next year," Puhakka said. "We see the market picking up in the second or third quarter of next year."

To: StanX Long who wrote (407)	11/9/2001 8:05:52 PM
From: advocatedevil	Read Replies (1) \| Respond to of 25522

Thinking about Applied's earnings report for next week... I think it's safe to assume that normally high margins will be impacted at AMAT due to reduced manufacturing volume, but I wonder how much price competition there is out there these days and what additional impact that might have. I have to imagine it's getting cutthroat, however I'm only speculating. Anyone here have a feel for what it's like trying to sell equipment in this environment? AdvocateDevil