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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: Nine_USA who wrote (16698)	6/18/1998 4:25:00 PM
From: Patrick Sharkey	Respond to of 29386

Pigboy, I don't think that there is panic here at all. I subscribe to the earlier poster's theory that the runup in price was based upon anticipation of an announcement, by someon, somewhere, and that the incredibly intense and sustained selling pressure was the bad news that was delivered. Of course, if this theory is correct, and the volume indicates anything, that information was quite important, going in both directions, and it is disappointing that we did not share in the news -- whatever that news may be. It is incredible that the shareholders still don't know what went on to cause those spikes up and down. Back to the topic sentence, if you also subscribe to the foregoing, then the trading pattern reflects nothing more and the fact that news continues to leak, and that news must be bad -- whatever it is. So it would appear that the Board's responses, and the market's response is really quite rationale, given the information, or lack thereof, at hand. If the news is that IBM has decided to bypass Ancor, a company with which it has worked for several years and as to which it is a part-owner, in favor of competing technology, that is very bad news. To do this, IBM had to decide to go with technology that is aligned in some fashion with arch-rival EMC. Moreover, this decision cannot be so glibly explained -- as was the SUN decision -- relationships, Silicon Valley location, etc. IBM is not Silicon Valley and the difference between Minnesota and Silicon Valley would appear to be a meaningless aspect of the decision. Moreover, the relationship that was so key to the SUN deal, should have favored Ancor -- but it did not. Is pricing an OEM deal the problem -- since Brocade probably has more latitude? Is performance the problem? I ____________ the problem, and can it be fixed? I really wish I knew, and right now I do not know what to believe.