Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Ampex Corporation (AEXCA) -- Ignore unavailable to you. Want to Upgrade?

To: W. Thompson who wrote (3563)	10/6/1998 11:58:00 AM
From: Hal Campbell	Read Replies (1) \| Respond to of 17679

<< Is this the way a heroine addict feels? >> Don't know WT...I am just a nicotine addict ( that's worse ). Karen's my heroine. Well it could turn if they have any success in their efforts. Outside of the ever shrinking core business, I just do not know what their efforts are. Some simple speculations .... Now the following is based upon general reading, and I welcome correction from the more knowledgeable in these areas than I ....Anthony etc. HDTV is coming. Slowly, but it's coming. I don't think AXC patents are in the TVs ...or rather if they are they won't get paid for them. ( now I am obviously neither an expert or impartial judge - but it doesn't look to me as if AXC's suit was frivolous -really appears they just got screwed...but what's done is done. The viability of the patent portfolio is compromised) However, in the next five years, the approximately 1600 stations in the US will all be making the switch to HDTV. Right now they have a choice. They can buy equipment which simply passes network originated HDTV broadcasts on to their viewers ( cost a little under 1 million) or they can purchase complete HDTV ready production and broadcast equipment ( cost around 10 million). Initially most are VERY reluctant to do the latter because they have already invested substantial sums in digital production equipment and don't want to replace it all overnight. Some are apparently even investigating with Faroujda the initial use of line doublers in broadcast to improve the picture while delaying the transmission of nothing but HDTV. But the fact remains that sooner or later there will be a miniexplosion in the professional broadcasting equipment market and perhaps a redesigned HDTV ready DCT could grab a chunk of it. That might be in the plans. At present, to the best of my limited knowledge, AXC does not even manufacture the DCT anymore, and hasn't for quite some time. But they include it in brochures and white papers to keep the revered old name alive- perhaps waiting for that conversion to HDTV to take place. Maybe they plan to revisit that market with a redesigned DCT and other equipment. Maybe. On another front, they will probably winnow out all but the most promising elements and expenses of MicroNet. How much profitable revenue with growth potential will be left or how long that will take is anybody's guess. If they do have to take a mammoth charge to pay off MicroNet creditors.... ( unclear to me - that may have truly have been a forgiveness of debt .....a kind of " we can pay you just this much or we will declare bankruptcy" strategy) ...... then the acquisition was not as cheap as we thought. But lets hope for the best. Next quarter will tell the tale. Here's a point where a hopeful guess is somewhat bolstered by the modest insider buying and the recent market reaction. You can be sure that Bramson and some in the market do know the answer to these question, so a disastrous quarter is probably not on the horizon. We all know the DST hopes as massive storage demands burgeon. AXC is attempting to offer a more complete package to future customers now. We'll see how that all works out...how long it takes etc. And as Jubimer has pointed out, the seem to feel they have a proprietary package of something to offer in a web host. When the price of a web host comes down enough...or AXC's rises enough.... we will see what that might be. Any other areas? Beats me. Give me some help here somebody....but please don't tell me AXC will be able to talk many companies into paying for used patents they may not ( or may ) know they are using. Juries will support the little company in a gray area, but judges will not it seems. AXC is going to have to sell to prosper, but isn't that what good companies do? They can use their past, but they cannot live in it.