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To: Trader X who wrote (12112)2/17/1998 8:21:00 PM
From: Andrew Vance  Respond to of 17305
 
*AV* -- A couple of weeks ago we had some discussions on TDFX vs DIMD and my decision to take profits in TDFX and roll over into DIMD. Both have not done anything in either direction to affirm that the decision was correct or incorrect. A few % in either direction. Even though TDFX was a resounding profit and the profits should have bee left to run some more, I decided to flip. The following news release is presented, for better or worse. At least we are discussing 2 quality companies, both of which have potential.

Diamond Multimedia Provides a Breadth of Graphics Solutions to Support Intel's AGP Technology for OEMs, System Integrators and Retail Customers

Business Wire - February 17, 1998 09:17

SAN JOSE, Calif.--(BUSINESS WIRE)--Feb. 17, 1998--Diamond
Multimedia Systems, Inc. (Nasdaq: DIMD), a leader in interactive
multimedia acceleration, today reaffirmed its commitment to develop
graphics acceleration solutions that support Intel Corporation's AGP
(Accelerated Graphics Port) technology. Diamond announced plans last
week to develop products based on the Intel740 AGP 2X graphics
controller. That announcement, in addition to the company's
production of several first-generation AGP products, demonstrates
Diamond Multimedia's strong commitment to AGP, both now and in the
future. Diamond Multimedia will launch a website later this month at
www.diamondmm.com/agp devoted to educating customers about the
benefits of AGP in achieving superior graphics solutions for the PC.
"Diamond Multimedia has made a name for itself as a leader in the PC
graphics and multimedia industry," said David Watkins, vice president
and general manager of the multimedia division at Diamond Multimedia.
"This was achieved by recognizing the benefits of new graphics
technologies like AGP and incorporating them into the release of
stable, solidly-engineered products." "AGP has had a significant
adoption rate among OEM and system integration customers, and our AGP
products have proven to be excellent sellers in these channels," said
Scott Holt, senior vice president of worldwide sales at Diamond
Multimedia. "We believe there will be a swift shift from the PCI bus
to AGP among consumers who want to take full advantage of performance
enhancements to 2D, 3D and video playback provided by AGP upgrades.
Therefore, Diamond will offer retail AGP graphics solutions to the
consumer market in the coming weeks."

Diamond Multimedia's AGP Products

"Diamond Multimedia has several AGP 1X products and was among the
first companies to provide support for AGP. Diamond's announcement
today supporting our AGP 2X Intel740 graphics controller proves that
we are committed to the support and development of AGP solutions,"
said Scott Vouri, vice president and general manager of Diamond
Multimedia's graphics business unit. Diamond currently offers three
first-generation AGP graphics accelerators. The Fire GL 1000 Pro is
designed for professional 2D and 3D graphics performance in the
Windows(R) NT and 95 operating systems. The Fire GL 1000 Pro features
3Dlabs' Permedia(R) 2 graphics engine, a 230 MHz RAMDAC and is
available with 4MB or 8MB of 100 MHz SGRAM. The Viper V330, powered
by NVIDIA Corp.'s RIVA 128(TM) media controller, is a true 128-bit
multimedia accelerator designed to provide consumers with compromised
2D, 3D and MPEG-1 video playback. The Viper V330 ships with 4MB of
100MHz SGRAM and a 230MHz RAMDAC. The recently announced Stealth 3D
4000, featuring S3 Inc.'s ViRGE/GX-2 64-bit media controller, offers
the graphics performance of AGP to resellers and system integrators
at an aggressive price. The Stealth 3D 4000 is available in 2MB
or 4MB SGRAM configurations. Diamond Multimedia customers currently
purchasing the AGP versions of the Fire GL 1000 Pro, Viper V330 and
Stealth 3D 4000 include Dell Computer Corp., NEC Computer Systems
Division, Micron Electronics, Inc., Quantex Microsystems, ASI Corp.,
Mini-Micro Supply, Proteva Computers and SED International, Inc.
Diamond Multimedia is also developing AGP graphics solutions for the
retail market with shipments to begin in the first quarter of 1998.

Diamond Multimedia

Diamond Multimedia is driving the interactive multimedia market by
providing advanced solutions for home, business and professional
desktop computer users, enabling them to create, access and
experience compelling new media content from their desktops and
through the Internet. Diamond accelerates multimedia from the
Internet to the hard drive with products that include the Stealth and
Viper(R) series of media accelerators, the Monster series of
entertainment 3D and sound accelerators, the Fire series
of professional 3D and SCSI accelerators, and the Supra(R) series of
modems. Diamond also markets DVD and video phone kits. Diamond's
common stock is traded on the Nasdaq Stock Market under the symbol
DIMD, and its web site address is www.diamondmm.com.

Andrew