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

To: tom jones who wrote (8253)	5/7/1998 2:21:00 PM
From: Investor A	Read Replies (2) \| Respond to of 11555

Tom, but these shysters are paying IBM to make it so here again the knuckleheads have bungled another great opportunity. IBM! That's the real problem for IDTI stock price. The 3 years fab. contract with IBM will take all the profit opportunity off IDT on C6+ or whatever.

To: tom jones who wrote (8253)	5/7/1998 4:46:00 PM
From: Rob S.	Read Replies (5) \| Respond to of 11555

You show all the signs of some lamebrain who knows next to nothing about what he is talking about; quick to criticize and short with any facts so support your derogatory comments. The C6 and C6+ cost about $20-$30 to manufacture and are incrementally very profitable - even at the low prices that the market dictates. IDTI has internal capacity, although a portion of it still needs to be built out, to manufacture about 6-8 million parts per year. They need IBM as a SECOND SOURCE to make them more attractive to large OEMs. They will pay IBM about a 1/3 premium over internal production to make the C6+ wafers, but because the die size is smaller than competitors parts, the impact on total uP cost is not that great. IDTI and other mfgs. pay IBM on a PER WAFER basis. If you get more chips per wafer, your cost goes down per part. The C6 and C6+ will cost more to TEST and PACKAGE than to produce the uP circuit die. A 1/3 premium paid to IBM only amounts to $5-$10 per part increase over internal manufacture. The packaging and testing costs $12-$18 per part. The net effect of the IBM agreement is that IDTI gains access to key technologies and added manufacturing muscle, just the things that Intel has used to thwart it's competitors so effectively (up until now). You blabbering Knucklehead - this was an excellent strategic move for IDTI. I think this thread would be better off if you backed your statements up with some facts instead of spouting off about something you obviously know too little if anything about.