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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: John Chen who wrote (38978)	11/5/1997 12:06:00 PM
From: MichaelW	Read Replies (3) \| Respond to of 186894

All: Anyone know how low Intel could go in this choppy market? I'm looking for the right time to buy. If you're holding Intel, I think you'll be alright long term.

To: John Chen who wrote (38978)	11/5/1997 12:28:00 PM
From: Mary Cluney	Read Replies (1) \| Respond to of 186894

John, NEXT BIG PROBLEM It may take some time to get over this sub $1k mania and you have already identified the next big problem. If I may, I think in the Chinese character for danger there is in it a character that stands for opportunity. But, regardless my ignorance in the Chinese language, what I'm trying to say is that there is great opportunity here for Intel. The sub 1k mania has a life of its own. It does seem to be taking on manic proportions. However, for the life of me, I can't see how this is a negative for Intel. There does seem to be a pent up market from individuals who two years ago would never have considered buying a computer - but who in the last two years have been bombarded by news on TV and in print with stories about email and http dot dot this and http dot dot that that they can't but help think they are out of the main stream without their own ability to http dot dot this and dot dot that. The PC revolution IS about to explode again. There will be a certain number of savvy users trading down as there will be a number of novices who will be drawn into the show rooms and be subjected to the salesman's bait and switch tactics. The majority however will come in at the lowest price level at perhaps $1200 with printer and Microsoft Works. Until Compaq, Cyrix, AMD, and or Intel can SHOW ME THE MONEY and that they can satisfy this market and make money doing it - the sub $k computer is IMO a Marketing Concept rather than an Reality. It is pretty much like the stories we've been hearing for the last fifty years about if everyone in China eating one more egg or an 8 oz. drink of Coke. Right now, there is no one that I know of (i.e., IBM, Apple, HP, Dell, Gateway, Intel, Micron, NEC, Sony, Toshiba, Cyrix, AMD, et al) that has the cost structure to satisfy this market and make money in it. Will this market lower the demand at the higher end. I suspect not. People always looking for bargains and never wanted to pay more than they could afford or need to spend. Why should their spending patterns be any different now? As for the NEXT BIG PROBLEM with Corporate rightsizing, there is yet another big opportunity for Intel. The Big Iron/Enterprize Market is many times that of the desktop market. The majority of Code that is being executed today is still COBOL. Java execution does not show up on any radar screens, yet. Most of those dumb terminals that are in use are going to be replaced by intelligent terminals. The only question is whether they take away the diskette drive or not. But, all this is for another day. Your long winded friend, Mary Cluney