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Technology Stocks : Micron Only Forum -- Ignore unavailable to you. Want to Upgrade?

To: TREND1 who wrote (26697)	1/16/1998 1:18:00 PM
From: DJBEINO	Read Replies (1) \| Respond to of 53903

Today's Commentary: 01/16/98 (AIC) Pricing on select 16 meg product (i.e. 4Mx4 SOJ FPM and EDO) had a slight increase from yesterday's close. 64 meg DRAM also had an increase based on limited availabilities. Buyers for Intel CPUs continue to look for aggressive pricing as the price drop approaches.

To: TREND1 who wrote (26697)	1/16/1998 3:15:00 PM
From: Megs	Read Replies (1) \| Respond to of 53903

These statements always make me laugh and reaffirm my belief that some people don't understand market dynamics. >A few weeks ago, DRAM prices bottomed in the range of $2.00 to $2.30. >Now, they're in the range of$3.00 to $3.50, Nash said. >That's in contrast to the market back in December 1995, when the >chips cost about $60, Nash said. Was there a market for 16Mbit chips in Dec 95? Uh, no... The main market was in 4Mb. 16Mb production was just starting the ramp. Two words, SUPPLY and DEMAND (ok 3 words but who counts conjunctions). Plus to blame the Koreans for dumping and driving the price down is sidestepping the issue that when the Koreans and Japanese started to curtail production Micron took advantage of this and started to flood the market. Gaining a huge market share AND plunging the price. Which in my mind is a good strategy IF you can keep your production costs down (Micron is very good at this). Don't think I'm a bear on Micron. I am very Bullish on this company. I just think that the price plunge, once started, is very hard to contain in a commodity market, unless the suppliers have formed a consortium. The 16Mb market will likely continue for some time, especially if the sub $1000 PC market takes off. Those PCs will come with bare bone memory, just enough to run Win95/98 and thats it. You will rarely see 64Mb SDRAM in these Yugos. Ok, I'm getting carried away. Haven't posted in a while. This BB is getting too long and there is so much unrelated junk to sort through. Hey Bipin, how about starting another BB topic called "Micron ONLY" ;-) Meg