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Technology Stocks : Inktomi (INKT) -- Ignore unavailable to you. Want to Upgrade?

To: Randy C. who wrote (259)	8/9/1998 8:31:00 AM
From: Robert Einstein	Respond to of 1945

This is from MODEL P written by BILL SCHAFF a money manager with bay financial . The entire article can be found on TECH WEB Tuesday, August 4, 1998 With all the excitement about the Internet and its potential for IS applications, it's hard to discern real businesses from their overhyped counterparts. One Internet company that may be more than a flash in the pan is Inktomi [INKT], which has developed software that clusters multiple workstations to function together as one virtual computer. The company also develops network-application software that can be used on top of its core technology. The driving force remains the need for smarter networks to handle the exponential growth of information on the Internet. Inktomi is an outgrowth of three years of government research at the University of California at Berkeley. It has emerged as a pure, high-end search engine and applications-manufacturing company. That was the primary reason it recently won a licensing agreement to replace AltaVista as the search engine provider for Yahoo. Inktomi's distinctive feature is it focuses more on technology and applications, and less on branding its own name. The product I find exciting is Inktomi's network-caching software. As data networks evolve, more intelligence will be required to add value. Caching on the network improves bandwidth efficiency, and, consequently, profitability. Bandwidth-savings may average around 30 percent or more. An international company can spend up to $8 million a year for T3 access to the United States. By spending around $500,000 to $700,000 for Inktomi's applications, a company might save as much as $2 million per year in access-line charges, especially for Internet content, which is predominantly U.S.-based. The main difference between Inktomi and other players in network-caching is many of its competitors develop their applications in conjunction with proprietary hardware and operating systems. Inktomi's Traffic Server application software stores copies of frequently accessed Web pages at dedicated storage points along the network. When the information is requested, it is distributed from the closest source. This reduces the amount of traffic on the network backbone -- a point that is not lost on network operators, telecommunications companies, and ISPs. Because it is a software solution, cost and time of implementation are much lower than with hardware solutions. I am generally not a big fan of search engines, as the barriers to entry into the marketplace are limited, and the technology tends to be treated as a commodity. In addition, networking caching solutions are not unique to Inktomi, as it competes with household names such as Cisco, Microsoft, and Network Appliance.

To: Randy C. who wrote (259)	8/10/1998 1:30:00 PM
From: Slick	Read Replies (1) \| Respond to of 1945

Dear investors: Panic signals in the air?? Looks like "irrational exuberance" again for INKT today. Stock is climbing a wall of worry in the face of a thin rally with lots of churning (reliable sign of approaching bear): only internet and some financial sector plays seem to be profitable. Even other internet stocks don't have the snap they once had. The chill fall winds are approaching, the summer rally will be brief. I, for one, am getting out while the going is still good and the fruit is still on the vine. After this rally cash will be king. Like in a giant game of musical chairs, when the music stops playing the laggards will be out in the cold. Happy investing.......Slick