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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: Neil S who wrote (12727)	11/30/1997 9:50:00 AM
From: Craig Stevenson	Respond to of 29386

Neil, I agree with your post completely. I also believe that Ancor can be VERY successful being the #2 Fibre Channel switch maker, behind Brocade. I think Ancor's current technical superiority will garner them some significant market share, but Brocade will undoubtedly leap-frog Ancor's technology at some point, and then Ancor will have to catch up again. (That's the way things work with technology companies, and this isn't unusual.) The important thing is that while they have the edge, Ancor has to sell some switches. A recent conversation with a source at Ancor also confirmed that they aren't sitting on their hands as far as the technology is concerned. They are continuing to work on products beyond the MKII. You are correct about the SQNT and DEC situations. In both cases, Ancor basically handed Brocade the contracts by default, at least one of which (SQNT) was quite lucrative. If Ancor still had SQNT, I don't think the stock price would be under $6, and ANCR would be ramping revenues steeply. Craig