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To: Harold S. who wrote (58816)	6/25/1998 10:04:00 PM
From: Steve Porter	Read Replies (1) \| Respond to of 186894

Harold, Well I can't see WDC going out of business. There name alone is worth someone buying them out. But recently it appears that WDC has fallen out of favour with the OEMs which is where they used to make a fair amount of their money. In addition Fujitsu and Maxtor have better performing drives and a very strong retail presence, so WDC has been very squeezed for market share. It is also my understanging that they are caring a fairly large debt load, which may be difficult for them to service in the near future. In general the drive sector is due for a round of consolidation. I figure WDC will be the first to "fall" in a similar manner as Conner a number of years back. We're getting to that time again ;-).. The shutting down of Micropolis was just the start of this round (all though it was a little early). Infact that one really surprised me. Their new drives were GREAT. They really showed off Micropolis's AV experience, but alas it wasn't too be. To answer your question in a simple fashion though: WDC won't go out of business. They will be bought out. At what price I can't say, but their valuation is really kinda rock-bottom right now. Steve