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Technology Stocks : LSI Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (17451)	3/20/1999 5:00:00 PM
From: Duane L. Olson	Respond to of 25814

//OT/// VTSS Tony, as you probably know, VTSS has had such tremendous demand for it's chips that it actually had companies on allocation until it could get the new Colorado plant on line, and they are ramping that plant as hard as they can go. Analysts are projecting a growth rate above 40% for as far ahead as they can visiualize (beyond 5 years)... My understanding is that GaAs beats silicon for applications where performance is of greater consideration than price. Kind of like a Ferrari will get you through the quarter mile in a little better shape than will a Ford Escort.. And the advantage for VTSS is that GaAs chips are a bitch to manufacture, as you have so astutely pointed out. That cuts the competition down to --- well, there ain't much. Where cost is the prime consideration, and "reasonable" performance is acceptable, LSI will likely beat VTSS virtually every time -- with the proviso that the profit margins may leave a little something to be desired. Guess I'd better keep owning both.. :-) TSO