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

To: KiddStock who wrote (47139)	2/7/1998 4:55:00 PM
From: Reseller	Respond to of 58324

I've been in the computer industry 12 years and all things aren't equal. I tell my customers that it is questionable if Syquest is going to be around in the next year. I couldn't recommend products that I had viability questions about. Reseller

To: KiddStock who wrote (47139)	2/7/1998 5:11:00 PM
From: Michael Coley	Read Replies (1) \| Respond to of 58324

RE: SyQuest Better than Iomega? Richard, >> A local businessman who is very successful in the computer industry for several years (10 +) is cheering the joys of Syquest over Iomega. He claims that Syquest is a better product, faster and cheaper - all things being equal he belileves SYQT to superior to IOM in all respects and has switched his loyalty to SYQT, plus investing heavily. << Iomega and SyQuest have both been in this business for over ten years. Up until a few years ago, neither company was an astounding success. Iomega had a good reputation for high-quality products. SyQuest had a somewhat larger market share. But neither company had hit a home run. Over the last three years, SyQuest has thrown everything they can at Iomega, but have come up short. Their first attempt, the EZFlyer 135, just about broke the company. They were selling the drives below cost, and still couldn't catch up to Iomega. About half a dozen drives later, they've introduced the SparQ 1G drive. I have no reason to believe that this drive will be any more successful than any of its predecessors. Have your friend take a very close look at the dilution, balance sheet, and profit margin on SyQuest. He would be much better off taking his money to Vegas and putting it all on "00". - Michael Coley - wwol.com

To: KiddStock who wrote (47139)	2/7/1998 5:13:00 PM
From: Gary Wisdom	Read Replies (2) \| Respond to of 58324

Richard, here's my rebuttal to the "local businessman" He's an idiot. Ok, so you wanted a little more than that. Ok. Here: 1. Syquest products might enjoy a better price to performance ratio to Iomega products. I have no argument with that. 2. However, Syquest does not enjoy either the brand equity Iomega has. In fact, for Syquest to succeed, they are going to have to replace at least 6MM of those Iomega drives in professional or corporate offices very quickly. And, that ain't going to happen. Remember, Iomega has 12 MM Zips out there (and counting), but has over 15MM personal storage solutions out there. A huge obstacle to Syquest. 3. Most importantly, he is an idiot for investing heavily in Syquest. There are thousands of examples of companies with good products that are lousy investments. Syquest is one of them. Depending on the price he paid for his stock, he will lose his shirt on this one. If Syquest ever turns a profit, he'll have to share that with 150MM other shareholders and bondholders. Of course, Iomega is not much better right now. However, it is a $2B company that has one thing that Syquest will never have: a very definite chance of a takeover if the stock price lags. Is that a good enough rebuttal for ya?