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Technology Stocks : Creative Labs (CREAF) -- Ignore unavailable to you. Want to Upgrade?

To: Gambit who wrote (13241)	1/5/1999 6:51:00 PM
From: Gopher Broke	Read Replies (2) \| Respond to of 13925

I am sick to the back teeth with this $400-computer-kills-all-technology argument. Who is it that is going to be working for free to produce this new technology? Somebody has to develop the stuff and as long as the leading edge keeps moving forward then the price of a reasonably spec'd new PC will hold up. The cheap systems will always be behind the curve. There will continue to be a better alternative. So, what benefit in buying the leading edge machine? After all, the cheaper machines are just a little bit slower with a little poorer sound quality, and a little slower graphics. Who cares? We all do. Can you justify the cost of the car you own in terms of its functionality? I know I can't. (Apologies to those Skoda owners who read the Creaf posts.) Given that I spend a lot of my time at a computer (and presumably we are agreed that the "general public" will be spending an increasing time at theirs), why would I spend less money on it than my TV or sound system? Sure I bought a "spare bedroom" machine recently to keep the kids out of my hair, but I still keep my own machine at a high spec (Celeron 300A clocked at 450, but still...) Creaf are certainly in a competitive business and you cannot rely them delivering a reliable revenue stream. That is what makes them an uncertain investment for the day trader (better to go for eBay?). Nevertheless, IMO, Creaf will continue to make good money, certainly better than is warranted by a PE of 8. Sorry if you are short Creaf, but I have to disagree with your analysis of the market potential. I remain long Creaf and I am looking forward to a good quarterly result.