Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : INVX Innovex Comdex Winner !! -- Ignore unavailable to you. Want to Upgrade?

To: mfamily who wrote (2461)	5/5/1998 3:04:00 PM
From: Mark Oliver	Read Replies (2) \| Respond to of 3029

<this is in WSJ today; does anyone have an idea as to whether this is good, bad or indifferent to innovex? is ibm supplying wires for giant heads or is innovex or is it different technology altogether?> Could be bad, but maybe not. First of all, this is for something unvielded in 1999. So, lots may happen between now and then to answer your question. But for now, GMR is the smallest size head. It's the hardest to attach. IBM in conjunction with Hutchinson have pioneered a technique that does not use Innovex's wires. This would probably be used for GMR heads supplied by IBM. In fact, they even say that IBM could supply the Head Stack Assemblies which implies that IBM is practically making the drives ad WDC is assembling them. So, it would seem that this is not good news for Innovex, or Read Rite a very big customer of Innovex who is currently counting WDC as one of their largest customers. At the same time, WDC probably was way down on buying this quarter and they are the last to change over to MR heads which make more money for Innovex, so they would be the easiest customer to see falling sales. I think the IBM deal in no way implies that they will not buy from Innovex, but just not as many n their high end drives. Regards, Mark