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Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?

To: Brendan2012 who wrote (56480)	6/18/1998 10:36:00 PM
From: Rocky Reid	Read Replies (1) \| Respond to of 58324

Plain and simple, Iomega is losing money on OEM sales. Their solution is to increase OEM sales. This is a solution? Retail Zip sales (and resulting disc sales) are the only way Iomega sees a profit. And showing a profit is what the game is all about. Iomega is not some charity that can forever keep giving away its drives to OEM's and expect to stay in business for long. OEM sales mean losing money on drives, and not making money on disc sales. I wouldn't be suprised if the average Compaq Presario user tries to stick a CD in the Zip slot. And once they learn what it is, they say, "So what? I don't need to use it. I've got a 6 Gig hard drive." Iomega can continue to show impressive revenues. But the profits are what counts, and are what keeps them in business. They have no profit. And soon, they may have to sell off a whole lot of assets in order to stay in business. Jaz is history. Zip's cycle is waning. Zip will go the way of Ditto once Sony is through with them. And Vapor! is just plain DOA.