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Technology Stocks : ADI: The SHARCs are circling! -- Ignore unavailable to you. Want to Upgrade?

To: kdavy who wrote (1190)	2/2/1999 10:28:00 PM
From: Jerome	Respond to of 2882

Kdavy, Thanks, this option may well work out. Option call buyers frequently fail because they buy the wrong option on the right stock. Deep in the money option are the favorite of many. But if the maket crashes big time these will be big losers. Every option writer has to determine how much risk, or how little to tolerate. For myself I do not want options to be more than 4% of my total account value. When this amount is exceeded I do not write any more contracts until those contracts expire or are exercised. But its still risky. Lets see what all this INTC-ADI brings out. Jerome

To: kdavy who wrote (1190)	2/2/1999 10:50:00 PM
From: Time Traveler	Respond to of 2882

Intel should have bought out ADI when this stock was down to $13 or so. Time Traveler

To: kdavy who wrote (1190)	2/2/1999 11:26:00 PM
From: Jim Oravetz	Read Replies (1) \| Respond to of 2882

Wow such good news and the stock is down -5+ percent. This news caught me by surprise. I thought INTC was picking up business efforts with ARM, as far as DSP. Now they sign one with the rising star in DSP (get better software tools, OK!). My personal opinion, INTC is looking to fill the revenue gap that is coming when corp. America is willing to buy less expensive PC's powered by someone else's CPU. INTC share of the low cost PC dropped from 70+ to 49%. Why not cooperate with someone who's DSP and analog circuit design are a lot better than INTC could get in those areas, a long while? Definite plus sign for ADI. Jim

To: kdavy who wrote (1190)	2/3/1999 1:16:00 AM
From: Thai Chung	Read Replies (2) \| Respond to of 2882

February 3, 1999 Intel, Analog Devices Form Deal To Develop Communications Chip By JON G. AUERBACH and DEAN TAKAHASHI Staff Reporters of THE WALL STREET JOURNAL Semiconductor makers Intel Corp. and Analog Devices Inc. have formed a partnership to develop a fast-growing type of semiconductor chip used in communications equipment, people familiar with the matter say. Under the terms of the deal, which is expected to be announced Wednesday, the two companies will design a series of digital signal processors, or DSPs. DSPs are used in products including cellular telephones and computer modems. For Analog, Norwood, Mass., a partnership with the world's largest chip maker could be a crucial endorsement as it tries to expand the use of its specialty chips from computers to products such as air conditioners and refrigerators. Analog is the No. 3 player in the multibillion-dollar DSP market, behind Texas Instruments Inc. and Lucent Technologies Inc. Intel, Santa Clara, Calif., doesn't make DSP chips, and the alliance could allow the company to fill an important product gap as it moves beyond microprocessors to making chips for all types of appliances. Representatives of Analog and Intel wouldn't comment on any details of the alliance. The chips that the two companies develop will most likely be used in modems, networking devices and other communications devices, say people close to the matter. It couldn't be learned whether Intel plans to market modems, but one area of the market that is growing fast is digital-subscriber line modems, which are used to provide fast Internet access over regular phone lines. DSP chips take analog signals, such as voice and images, and convert them into digital signals. For instance, a DSP inside a cellular phone converts, encrypts and compresses the human voice into a digital signal before it is sent over the airwaves. ADI's DSP sales in its current fiscal year, which ends in October, are expected to reach about $400 million, more than a quarter of the company's overall estimated revenue of $1.35 billion, analysts say. Big customers include 3Com Corp., Siemens AG and Philips Electronics NV. The market for DSP chips is expected to hit $4.5 billion this year, from $3.5 billion last year, according to Semico Research in Scottsdale, Ariz.