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


To: David Colvin who wrote (37055)11/23/1997 11:32:00 AM
From: Stan J. Czernel  Respond to of 58324
 
All, regarding Nomai's licensing of disk production.

Syquest recently settled an infringement suit (brought by syquest) against Nomai for manufacturing Syquest disks- by licensing Nomai to produce these disks. This was about a month or two ago. Here is a link to the article: syquest.com

I find it credible that nomai may be hoping for the same arrangement with Iomega.

The issue for IOmega is whether it is better off settling with nomai. The answer - in my opinion - depends on how confident IOmega is of its ground.

If IO is confident that it will win, then it should fight hard to do so: nomai is small and weak - the perfect adversary. If the fight has to be fought . Losing the suit against nomai would be disaster - opening the door for an influx of well-heeled competitors to Iomega's cash cow.

On the other hand, settling the suit would leave the contested issues in abeyance. And this may only encourage other, bigger companies to try the same - companies with deeper pockets, more capable of sucessfully fighting a lawsuit.

In my opinion, the best course of action is to fight hard now.