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Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?

To: Michael G. Potter who wrote (9288)	11/27/1998 12:05:00 PM
From: Jeff Lins	Read Replies (1) \| Respond to of 16960

Well, that Oct quarter looked pretty good...and would imagine that next quarter will be very good. Would expect an IPO after they report this quarters earnings.

To: Michael G. Potter who wrote (9288)	11/27/1998 12:09:00 PM
From: Tae Spam Kim	Read Replies (1) \| Respond to of 16960

After my years of investing and management consulting, my prognosis on that balance sheet/income statement is very negative. But then again that never stopped any internet company from having a wildly succesful IPO. But then again, Nvidia is no internet company. Basically it shows a company in that's be selling their products at a loss (3dfx has been very profitable this year) and is in dire financial straits. However if the IPO does go through ok (which it will probably do), they will have some cash to stay in business the next 2-3 years. As a pure investor, i don't know how PROFITABLE they are going to be. Nvidia in the last year has almost purely been an OEM player. Can they beat ATI? Will they get retail mindshare? -Tae Kim

To: Michael G. Potter who wrote (9288)	11/27/1998 12:13:00 PM
From: Tae Spam Kim	Respond to of 16960

I was thinking... why shouldn't TDFX just buy Nvidia out for a 100 Million or so? They would have a 32-bit rendering chip RIGHT NOW, to hold them over till Rampage in late 1999. This will sort of be like what Creative Labs did when buying Ensoniq (get a good PCI chipset NOW, that would hold them over till SB LIVE! comes out). 3dfx certainly has the spare cash and ability to raise financing (debt). It would soldify 3dfx's market position and go right against ATI. I don't think they will be ANY anti-trust problems, since 3dfx is far from ATI's #1 marketshare/revenue position. It would eliminate 3dfx's main technology competitor in the process. -Tae Kim

To: Michael G. Potter who wrote (9288)	11/27/1998 12:33:00 PM
From: Bob Howarth	Read Replies (1) \| Respond to of 16960

I agree. Look what happened in TDFX case last Feb or so when stock issued at 22 and change. If I were nVidia, I would look to join a Creative instead of doing an IPO. Be a lot better for the employees. Of course I recommend to TDFX that they do the same thing. Is there anything to the lawsuit that TDFX has wrt the IPO?