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

To: THOMAS GOODRICH who wrote (13210)	12/17/1997 10:12:00 PM
From: A. Henry Marzullo	Respond to of 29386

Thomas, I would have to believe most of the downward pressure on the stock price of ancor now is tax loss selling. Anybody who was buying ancor on margin more than likely had margin calls awhile back. Why would anybody be buying ancor on margin in the last 2 months? I am begining to wish I had boxed my position in like Ed Doell had suggested. I believe it is too late now for this and since I refuse to sell at this absurdly low price, I will continue to watch my net asset value plummet for the time being. As an ancor shareholder one of my concerns is whether management can keep their expenses under control thru this difficult period. The 4th quarter is coming to a close and I wonder if there will be any evidence of this in the upcoming earnings release.

To: THOMAS GOODRICH who wrote (13210)	12/18/1997 9:59:00 AM
From: Craig Stevenson	Read Replies (1) \| Respond to of 29386

Tom, I agree with your last several posts, along with Kerry's, although I haven't had time to respond. (Out of the office more often than not, these days. I thought that was supposed to make the price go up!) Current stock price notwithstanding, it is difficult for me to believe that Ancor will fail if the Fibre Channel growth estimates from the researchers are accurate. There will simply be too much business for one player (Brocade) to handle. With regard to potential OEM deals, I keep thinking of the one that got away. If memory serves, Sequent was supposed to be worth UP TO $30 million dollars over two years. Based on Brocade's rapid revenue ramp, I have a hunch that those figures aren't too far off. One Sequent sized deal would probably be worth more than Ancor's total revenue for 1997! By most accounts there are 15-20 OEMs out there, and maybe more. Some of them are likely to be even bigger than Sequent. Based strictly on revenues, a number of potential OEMs are larger than Sequent, some of them MUCH larger. While trying out my optometrist recommended computer glasses <g>, I did a search on the web for Fibre Channel companies. Wading through the 10,000+ hits, I found MANY companies that are involved in Fibre Channel that I wasn't aware of. Several of them I had never even heard of. (I passed those names on to Ancor, by the way.) This bodes well for the overall Fibre Channel market, as more and more companies become aware of, and start to implement, the technology. One thing I noticed is that Fibre Channel is moving down the food chain more quickly than I had thought. Would you believe devices costing under $1,000 with a FC/AL port? These things are going to be everywhere if they can pull that off. Craig

To: THOMAS GOODRICH who wrote (13210)	12/18/1997 10:57:00 AM
From: Craig Stevenson	Read Replies (2) \| Respond to of 29386

Tom, I thought of another point that I keep forgetting to mention. (Alzheimer's must be setting in. <g>) Back in 1990, way before the internet craze, I started a Bulletin Board System (BBS). I had been using modems for a while, so I knew exactly what kind of modem I wanted for my board. U.S. Robotics. There were other, much bigger names out there, like Hayes, but the USR modems were simply the fastest and best modems around at the time, and they were quickly becoming the defacto standard for BBS use. I started out with a Dual-Standard, which supported v.32 in addition to the proprietary HST modulation. (I later upgraded to a v.32bis capable Dual-Standard.) When V.34 came out, I tried a Boca Research and a Microcom modem, since they beat USR to market. I wasn't satisfied with either one, returned them, and waited for a U.S. Robotics Courier V.Everything. My point is that this is a clear case of a company providing technological superiority, well in advance of the market knowing anything about it. (I could have bought USRX in the early 1990's for $3.50!) My chart shows it peaked in 1996 at almost $100.00. 3Com bought them out recently, but I don't recall the price. In its early days, USRX wasn't selling a ton of modems to the average guy. They started out selling to resellers and sysops. (USR had a VERY aggressive sysop program.) That drove demand on the user side, because those users wanted to connect at the highest possible speeds. Those of us that are long ANCR see the same type of growth potential for Fibre Channel. This is one example where the superior technology did win out. Witness the fairly recent Hayes debacle for proof of that. By many accounts, Ancor has the superior technology, at least for now. Let's hope that translates into success in the Fibre Channel market. Craig