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Technology Stocks : Broadcom (BRCM) -- Ignore unavailable to you. Want to Upgrade?

To: Cary Salsberg who wrote (6390)	10/11/2002 12:16:05 PM
From: Allen Furlan	Respond to of 6531

Gary, I do not like either brcm or brcd as long term investments. I have a boatload of long term far out calls short on both with a few in the money puts also short. I do not see how either can grow unless contract manufacturers also grow. That sector is even more depressed and I prefer to play a sector instead of a single company "story". My bet still would be that 2 brcd shares will be worth more than 1 brcm share in one or two years. And it is a crap shoot. finance.yahoo.com

To: Cary Salsberg who wrote (6390)	10/11/2002 5:13:32 PM
From: Allen Furlan	Read Replies (2) \| Respond to of 6531

Cary, was able to dig up a WSJ blurb(dtd??) that made several points,re, comm chip sector. Cited were applied micro, vitesse,pmc,brcm, cnxt and transwitch. On the plus side for brcm is high cash and pmc and brcm as survivors. My reading of articles conclusion and quote from article: "But the high growth which insured a lot of funding,also attracted a slew of semiconductor players, all going after a finite opportunity resulting in overinvestment in R&D." Then article went on to conclude that acquisition spree in 2000 was ill timed. Specifically saying about brcm "In 2000--did 13 acquisitions ,expecting growth. Now companies realize they may not want to be in those markets anymore" My conclusion is that this sector is dead money for the next several years.