To: Tulvio Durand who wrote (11127 ) 12/21/1997 11:05:00 PM From: Tulvio Durand Respond to
Upbeat article on techs, including Cisco, in DEC 28 Fortune. It is well worth the time to download and read the entire article. For those in a hurry I have excerpted the Cisco material below the link.
Merry Christmas to all.
Tulvio
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pathfinder.com
[Excerpt Regarding Cisco ---]
>>>--- McNamee: The people who are building the Internet have a gigantic business opportunity. The obvious leader is Cisco Systems, which is the dominant player in networking. Sun Microsystems is down a ton. I'm sorry, but this company is not going out of business. The stock is unbelievably cheap. You cannot build the Internet without Sun servers.
3Com is another stock that's down a ton. They're having a lot of
inventory issues this quarter and people are terrified, but they are No. 2 in networking. They're not going away. We're huge fans of PMC-Sierra, which dominates a number of markets for the chips that you use to build networking devices. A recent IPO called Mmc Networks, which makes a different kind of networking chip.
Some people are now saying the run is over for Cisco and 3Com.
Meeker: That's what they've been saying for years.
So this is really just the pause that refreshes?
McNamee: I would suggest that every time you hear somebody tell you that Cisco Systems isn't going to grow anymore, you ought to buy the stock. The same way you should add on Intel. Customers don't want to deal with ten different vendors. These are industries where customers want somebody to set a standard, and they will reward that company disproportionately.
Meeker: If you believe in the growth in the Internet, you have to own Cisco. <<<
