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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Ausdauer who wrote (24668)	1/22/2004 1:00:48 PM
From: Charlie Smith	Respond to of 60323

The only unquantifiable risk is oversupply... Exactly. So when I hear an exchange like the following: Bruce Seltzer - DSS Associates - Analyst And if we go out perhaps five years, it seems that the USB business could be as large in five years as your current base business is today? Eli Harari - SanDisk - President and Chief Executive Officer I would agree with you, Bruce. It's on A that it's going to be a very large market and B it's that going to be several billion dollars and C it could be the largest market out there and D it is our hope and our plan to be number one market share leader in that market as it grows. I become more comfortable that, over time, demand will be so strong that new supply will be readily absorbed.

To: Ausdauer who wrote (24668)	1/22/2004 1:29:26 PM
From: Dave	Read Replies (2) \| Respond to of 60323

Aus: Just because a company "grows" its revenues and net income does not necessarily mean that it is creating shareholder value. While this may or may not be case the with SanDisk, when a company or any company for that matter is facing or is faced with margin compression, it tends to scare away investors.

To: Ausdauer who wrote (24668)	1/22/2004 2:46:06 PM
From: Jim Greif	Read Replies (2) \| Respond to of 60323

Aus, I found one point made in the conference call particularly interesting, and no one seems to have noticed it, or thought it important. Eli pointed out that price drops are a good thing, because they can lead to entirely new products and applications. How many people would have predicted Cruzer-like products a few years ago, and they are now becoming an important revenue source. I think it is possible that additional price drops, combined with greater and greater memory capacity, may lead to a slew of new products that no one can currently predict. Just my two cents. Jim