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Technology Stocks : IDTI - an IC Play on Growth Markets -- Ignore unavailable to you. Want to Upgrade?

To: BigBull who wrote (7616)	3/30/1998 5:04:00 PM
From: farhash	Read Replies (1) \| Respond to of 11555

I also talked to Brian and this is what he said: 1) Sales of C6 are doing very well. 2) C6+ will start shipping in mid May. 3) They hope to have a large customer with 500K+ uP (quarterly) requirements by the end of year. 4) There will be some revenue generated this quarter from Clear Logic products. This year it should be in 10s of million dollar range. Next year, with the introduction of new products, the revenues should be much higher. 5) Other areas of the business may be slightly slow. 6) Cisco continues to be their largest customer. 7) If there was any below expectation earnings surprise then they would have pre-announced it by now.

To: BigBull who wrote (7616)	3/30/1998 5:14:00 PM
From: Rob S.	Respond to of 11555

I too have been disappointed that IDTI was not able to capitalize on their early involvement in WebTV, etc. Being on the ground floor is a great thing as long as you can catch some of the profits that fall from the sky latter on. I think the role of chip makers is changing increasingly toward a "total systems solution approach". It's not enough to have a cute part if you are among several other equals competing primarily on price. IDTI has done a good job setting the trend in communications/networking parts and I'd hoped they could do something similar with the MIPs parts. The structure of their relationship with QED was either shortsighted or conceived to benefit corporate insiders more than IDTI. They shot themselves in the foot by all appearances. The Asian Sources article indicates about the 10%-15% of the market size of PCs over the next few years. Of course this is in number of units- dollar volume is a lot smaller and chip prices have to be down in the dirt. Still, it seemed that IDTI had the momentum to come away with the GIC and other major contracts and probably would have if not for the competitor they helped to create.