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Technology Stocks : Phoenix Technologies (PTEC) -- Ignore unavailable to you. Want to Upgrade?

To: Mark Brophy who wrote (2913)	11/21/1998 11:54:00 AM
From: burt l seifman	Read Replies (3) \| Respond to of 3624

I realize what I am about to say does not compare with the analysis that I read here which is quite good. But I have to go through this catharsis. I made a big mistake and I continue to seem to make it. I bought the stock three years ago and felt it was a good investment. I saw the cash, I saw the market share, I saw the possible growth areas, I heard that R&D costs would come down. Yet I see the stock consistently drop. I guess the comments on management are true and I guess I have to just admit i blew a lot of money and assume lifes lessons. Somehow though I don't want to give away at six, all of the above still hold true. I will rationalize and hope somehow they can more than double this year and I can get out with some dignity. But gee whiz can below five be far away? Thank you for this moment of self flagilation.

To: Mark Brophy who wrote (2913)	11/22/1998 5:29:00 PM
From: Daniel D. Caldwell	Read Replies (2) \| Respond to of 3624

The Phoenix / Intel relationship is generally misunderstood by the group. There is no $.25 BIOS; there may be some imputed price that Intel pays for the work that is done by Phoenix. Intel pays for services and if volumes exceed expectations Phoenix gets additional monies. Right now, it's a good deal for Phoenix on paper, but yes, Intel is demanding. The secondary benefits are what helps most; Intel demands features and quality that helps other customers. Not having Intel is far worse. The BIOS that Compaq and IBM comes from the same code base as Intel to the greatest degree possible with limitations based on IP ownership rights and speed of proliferating new code. They pay a royalty based on volume and engineering fees to adapt the code. As far as Merced; there is money to be had far in advance of the actual silicon availability. A lot of money; trust me.... Phoenix and other companies have figured out that being there ahead of everyone else has a premium that customers are willing to pay for.