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Technology Stocks : Western Digital (WDC) -- Ignore unavailable to you. Want to Upgrade?

To: AC Flyer who wrote (9780)	8/29/1998 9:54:00 PM
From: Glenn D. Rudolph	Respond to of 11057

The disk drive companies that survive in this cycle will be the ones that figure out how to make $50 6GB drives, and then $30 10GB drives. A relentless cost focus will be required. Profits will likely be thin or non-existent. This is a good assessment in my opinion. Glenn

To: AC Flyer who wrote (9780)	8/30/1998 12:40:00 AM
From: Carey Thompson	Read Replies (4) \| Respond to of 11057

Your historical analysis of the price trends of WDC is right on the money. I love to read post from investors that have a memory longer than what happened yesterday. I do not know all the new 'storage hogging' applications coming in the next couple of years but here my take on DVD movies. There is a big application on the horizon (maybe 1999) that will require massive disk drives on home your computer. That is digital video device. DVD stores 3 hr feature films of floppy disk the size of CDs. I hang with same young engineers and they demo'ed a DVD this spring and hooked it up to a TV. The sound was great (dolby), and the picture was crisp (digital). Although DVD films are compressed, they still take over 3.5 gigabytes of storage. When one of these DVD films are copied, the user needs 3.5 GB just for that one operation. If DVD applications take off next yr, many home pc users will upgrade by buying new and larger WDC drives. This is one opinion, but its from a long term holder of WDC who is going to buy it again later this year. This take is from Feb. 1998, and I still believe there are enormous prospects for DVD-ROM drives in home computers. There is a DVD newsletter on the internet somewhere. Maybe,I will find it and share its research with the thread. I think tax selling season (Dec) this year or next year may be a good time to re-buy WDC. As Peter Lynch states in his book, tax selling season is a good time to buy good, but beaten down stocks, at low prices. Great perspective, please continue to post. Carey Thompson