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To: Phillip C. Lee who wrote (9028)3/3/1998 12:37:00 PM
From: Eric Yang  Read Replies (1) | Respond to of 213173
 
Phillip,

Yeah..I was aware of the lowered clone competition for Q2 issue when I put that page together as it's been talked about on this thread for quite a while now. But it slipped my mind when I was writing the piece. I've updated the page last night and included it in the section that talks about the revenue.

Looking at the aggressive price cut in the last week, I think our margin will probably be lower than the 24.5% in that estimate. (Spartacus for $1,999!?...oh come on!) But I do expect it to be higher than the margin in Q1. Anderson stated that last Q's margin can be maintained.

If the margin is significantly lower than Q1...say a drop to 20% I would expect the revenue to be spectacular.

I'm thinking about doing an update about 2-3 weeks from now to reflect what we know at that time..

Eric
macevolution.com