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To: Grand Poobah who wrote (14966)	9/12/1998 7:22:00 PM
From: patrick tang	Read Replies (2) \| Respond to of 25814

Now can you please re-tell what you just said in one paragraph or less and also in language that Joe Blow can understand! Unfortunately, I believe that's what we are facing with. Not just Joe Blow can't understand it, but even the average analyst can't understand it. All the can do is look at the numbers on the bottom with no ability to forecast ahead. Thus I have been saying that they only way this stock will lift is if the numbers start appearing. Hopefully Q4 will start that. patrick

To: Grand Poobah who wrote (14966)	9/12/1998 7:26:00 PM
From: Jock Hutchinson	Respond to of 25814

GP: Your post is one that I hope other knowledgeable members of this thread would pick up upon and further develop. I for one would really like to get a feel for what "mix" of design has proven to most successful for LSI and how LSI differentiates itself from other chip makers in its ASIC product line. I am assuming that your standard cell argument applies to the other standard cell makers such as LU, TXN, and IBM. Do you have any sense as to whether LSI is keeping pace or for that matter is hitting the wall because of tool limitations? Your insights and analysis are always deeply appreciated.

To: Grand Poobah who wrote (14966)	9/12/1998 9:18:00 PM
From: kash johal	Respond to of 25814

GP, Excellent post. All standard Cells are not created equal. LSI has the capability to put complex sytem on chip designs together that integrate logic (easy), memory(easy), analog(hard), for certain target markets. Unfortunately 70-80% of their business today does not contain analog, but does contain memory,logic and megacells. They will be transitioning into fewer designs, more complex designs, with more value added IP. This is similar to their transition from jelly bean gate arrays to standard cells. What is not clear to me is wether this means that revenues will really grow. they could stagnate (as for last few years) if they decide to move away from low end further or sales could grow but margins could suffer greatly (if they fight the price war at the low end). Wilf has tended not to want to fight on price and has chosen to move upmarket. It will be interesting to see what they do. Regards, Kash