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Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?

To: Gary Wisdom who wrote (34288)	11/3/1997 5:03:00 AM
From: Dale Stempson	Respond to of 58324

Gary, Yes, $16 million won't buy a great deal of exposure for Syquest's new products, but it should be noted that this marketing expenditure represents spending only for the current quarter ending in December. I agree with you that a COMDEX product launch doesn't mean drives will soon be shipping. If I recall, Rosencrans of H.D. Brous (an analyst who likes IOM) had the idea that SparQ sales could begin positively impacting Syquest's numbers beginning next quarter. I do believe however you would be making a mistake by dismissing any possibility of Syquest producing a product that could take some market share, or thinking that the company will never remain viable. BTW, You can be certain I'm not considering an investment in SYQT. The stock has long been a favorite dog of mine and is great for trading only. Regards - Dale

To: Gary Wisdom who wrote (34288)	11/3/1997 11:43:00 AM
From: Trakker	Read Replies (1) \| Respond to of 58324

Gary, Your points about the $16mm and change that SyQuest is going to use for marketing are spot on when you also add their positioning of SparQ as a mass market product in the mix. The product is interesting, but the only way they could effectively make this product a success at this point, with that amount of money is: 1. Don't go to retail. IF the product is for real and SYQT generates excitement, the likely scenario is an out of inventory situation for the holidays, leaving consumers with one other choice. I'm sure Iomega would love to take the buyer's money. 2. Attack niche markets. SyQuest should leverage where they've traditionally been strong and go after high-end "informed" users. The problem with this is that developing these markets can be expensive and arduous. Leaving the Iomega Marketing Machine the opportunity to keep building the Jaz brand 3. Release or Die. This could be SyQuest's last hope. If they introduce this product with a big bang at COMDEX and then they go into their typical product launch delay phase - SparQ will fizzle, not sizzle as they hope.