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

To: flickerful who wrote (3741)	11/3/1998 1:03:00 PM
From: Ed Perry	Respond to of 17679

I think that the last thing any of the large media supplier players needs is to see Ampex succeed in the digital video mass consumer market. Ampex's success renders these organization's capital planning meaningless. Using capital and their technology base, large players like to control their upstream and downstream suppliers and markets. This control approach works very well in many high barrier industries, automobiles, chemicals, machinery, insurance, publishing (some of these are Buffet type favorites). To a large extent it also works well (but is subject to horrific cyclic tendencies) in the computer, entertainment and information processing industries (note that the communications industry is still subject to strangle-holds … deregulation to be effective here)? However, since, in technology, the technological basis can change so rapidly, there are occasional windows of opportunity for concerns strategically placed who also have the financial and technological management assets and have ready access to moderate capital needs. These high stakes players, with superior management, vision and timing can render a David into becoming a Goliath. However, in my opinion, there are more players trying to not allow this to happen as there are players interested in expanding the envelope of consumption. Don't be surprised if Ampex is courted not for their product line but for their potential. Imagio should bring this possibility out. In the meanwhile, the bandwidth solution may come from the wireless sector from something like the Paul Allen venture in satellite communications. This would bypass the infrastructural investments of the cable providers and the stranglehold of the communications industry suppliers. Ed Perry PS to follow.. what all this means to the "Main Street" shareholder.