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Technology Stocks : Garmin GRMN -- Ignore unavailable to you. Want to Upgrade?

To: andydaoust who wrote (38)	11/1/2006 12:45:42 PM
From: tech101	Read Replies (1) \| Respond to of 99

Garmin tumbled nearly 16% to $44.86 today, clipped by lower-than-expected revenue for the third quarter. Garmin and its competitors have kept unreasonably high profit margin and the high price of GPS gears have prevented GPS from becoming ubiquitous. Now Garmin faces fierce competitions from TomTom, Magellan, and numerous vendors from Asian countries, including Taiwan and China. The GPS gear prices and profit margin for GRMN, TomTom and all the gear makers have no way but down and making GPS a commodity, which is the best news for the chip maker SIRF and map/data provider NVT because of the already-low profit margin for the chip makers and data/map providers and the relatively high entry barriers.