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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: MileHigh who wrote (17520)	3/20/1999 1:38:00 PM
From: Gary Wisdom	Respond to of 93625

Technology News Sat, 20 Mar 1999, 1:33pm EST Samsung to Invest $600 Mln to Build 128M-Dram Line, YonhapSays Seoul, March 20 (Bloomberg) -- Samsung Electronics Co., the world's biggest memory chip manufacturer, will invest $600 million to build a new production line mainly for 128-megabit dynamic random access memory chips and rambus Drams, the Yonhap News Agency said, citing the South Korea company. Samsung will begin mass production of those micro chips, which are used in personal computers, electronics and communications equipment, in the second half of this year in order to preempt the world market. Sales of 128-megabit Drams are expected to reach $3.5 billion next year, up from about $1 billion to $1.5 billion this year. George M. Scalise, president of the Semiconductor Industry Association, said in February the recovery from the two-year slump in computer chip sales was accelerating because of demand for new personal computers. In the fourth quarter last year, worldwide chip sales increased ''about 10 percent'' over the third quarter. (Yonhap, 3/20)

To: MileHigh who wrote (17520)	3/20/1999 3:35:00 PM
From: unclewest	Respond to of 93625

Here is an example of how I read something: "This year, we will only have a small amount of capacity for Direct RDRAMs," Tsai said. "But it is our plan to have enough capacity for Direct RDRAMs in place to meet market demand by the year 2000. We will only make these DRAMs on a foundry basis for Mitsubishi. We do not intend to license the technology from Rambus until Rambus owns a 40% or 50% share of the market." milehigh, first, i did not take anything personal. i consider this exchange an intellectual exercise in information analysis. i learned in my first career that survival depends on how well you know your enemy. high quality intelligence gathering and analysis is essential to develop this knowledge. i'll be the first to say that there is room here and there for two good men to disagree. nevertheless, the discussion is vital to total comprehension. a kind of brain storming. regarding the quote above...i analyze it this way: 1. powerchip semi conductor, a company i never heard of, announced today that they are producing rambus rdrams for mitsubishi. that is good news. 2. they are the 16th dram mfr to make that announcement. rambus will collect a royalty on every one of the rdram's they produce. that is good news. 3.mitsubishi obviously has orders for rdram far exceeding their own large production capacity and have subcontracted some of the work. that is good news. 4.rdram demand is very high. that will keep prices up increasing royalty payments to rambus. that is good news. 5. powerchip plans in the future to pay rambus a license fee as well as royalties and sell rambus rdrams to others under their own name. obviously they see other opportunities to sell rambus rdrams developing. that is good news. we should also remember that the dram companies have been taking a bath on sdrams. losing money for 2 years. it takes a lot of $ to convert to rdram production. i maintain that the last few companies just don't have the resources to convert. even though the big money, companies representing well over 95% of the world's dram production, have already announced they are converting, it is still nice to pick up the last few little guys. highest regards, unclewest