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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: Technologyguy who wrote (13663)	12/31/1998 11:24:00 AM
From: Gerald Walls	Respond to of 74651

That neglects the point that the value of these companies, such as Yahoo, is largely in their brand and the eyeballs already attracted to the sites. Buying the computers is irrelevant and many of the people are interchangeable. Most are interchangeable. These aren't the few key people that need to be stolen. As far as Yahoo or Amazon or the other very few with the true brand recognition, these would probably never be cheap enough to make sense to acquire. At some point a company will have to say that the money can be invested more profitably elsewhere. Who cares how many people you have looking at a site if it can't be turned into a superior return on the investment required to acquire those eyes? The ones that might be worth buying for the brand are far too expensive and with the ones that are cheap enough to buy there's no advantage to buying instead of creating a new portal. Just because you're buying a high-recognition brand name doesn't mean you can't overpay. Look at the Snapple debacle. It was a HOT! HOT! HOT! brand name. It went public with the same level of hype the dot-coms now get. About nine months later (if I remember correctly) it was taken under (acquired below the trading price before the announcement) and then sold at about 1/10 of that only a couple of years later. Quaker way overpaid for a hot brand, and the market had it valued even higher.

To: Technologyguy who wrote (13663)	12/31/1998 12:19:00 PM
From: t2	Respond to of 74651

The nasdaq has picked up a bit this afternoon. Hoping all the bargain hunters are jumping in. (NAZ up about 9). If it keeps going up, it will send a clear signal of next week's movement. If it goes down by the end of the day, I will just think the buyers have not come in yet! Either scenario -- I am very optimistic! Happy New Year to Everyone!!! All the Best for 1999!!!