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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: j g cordes who wrote (16628)	6/17/1998 8:43:00 AM
From: Glenn Omura	Read Replies (1) \| Respond to of 69207

M&As today ARE different from 1980's. The strategic driving force today in the tech sector is the Street. The Street expects growth NOW; the tech company has to deliver however it can. Given the accelerated life cycles of technologies AND companies, the old smokestack manufacturing sector planning time horizons and growth rates are not good enough. This is why P/Es are irrelevant and P/Ss are more relevant. If a company can't get it up using its own wits, the Viagra pill of the 90's is M&A. Even at $10/pill (less at Wal*Mart and KMart!)its a cheap way to achieve growth...the problem, of course, is to maintain it after the passion is gone. Glenn

To: j g cordes who wrote (16628)	6/17/1998 9:17:00 AM
From: Clint E.	Read Replies (1) \| Respond to of 69207

LLTC looks quite sick. Any news????????----------------Clint

To: j g cordes who wrote (16628)	6/18/1998 4:53:00 AM
From: Johnny Canuck	Respond to of 69207

An exaggerated extension of mega - mergers is monopolies. It looks like Greenspan does not have a problem with them except when it comes to the handling of your and his money. ****************************************************** Technology NewsUpdated 10:06 AM ET June 17, 1998ÿ Greenspan: Market Will Take Care Of Monopolies By David Lawsky WASHINGTON (Reuters) - Federal Reserve Chairman Alan Greenspan said that U.S. regulators should leave most monopolies alone because they could not survive long in a world of rapidly advancing technology and global competition. While Greenspan did not mention U.S. antitrust action against computer giants Microsoft Corp. and Intel Corp., his comments seemed to question the whole philosophy underlying U.S. antitrust policy. The government should not interfere with monopolies that maintain dominance through cost efficiencies and low prices, the Fed chief said in testimony to a Senate Judiciary Committee hearing on the current wave of corporate mergers. "By the measure of what benefits consumers, such enterprises should not be discouraged," Greenspan said. He called on antitrust authorities to exercise a "higher degree of humility" before acting. But Justice Department antitrust chief Joel Klein lobbed the metaphor back at Greenspan, his sometime tennis doubles opponent. "I hope when he sets the discount rate he exercises a great deal of humility," Klein told reporters after the hearing. "Humility is not a prescription for abdicating responsibilities. " Klein said antitrust enforcement is based on combing through millions of documents and interviewing dozens or hundreds of people to seek out specific, illegal behavior. In his testimony, Greenspan said antitrust remedies were applied mainly to firms dominant in their industries, "yet the evidence of sustained dominance where markets are generally open are few." U.S. Steel, General Motors, and International Business Machines Corp. were prominent examples where market share had eroded after early dominance was achieved, he said. Greenspan said banking and other regulated industries were an exception, and monopolies could flourish in these environments without appropriate care. But he said technology was increasingly reducing the incidence of "natural monopolies," making it easier for competitors to enter markets that previously had high entry costs. Finally, Greenspan said the increasing size of very large companies relative to any one nation's economy illustrated the importance of free trade.