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Non-Tech : Iomega Thread without Iomega -- Ignore unavailable to you. Want to Upgrade?

To: David Harker who wrote (9015)	4/13/1999 2:28:00 PM
From: John Solder	Respond to of 10072

Exactly. 20% here $47 there, all guesses and hot air. Historically higher OEM inclusion at the expense of retail sales has eroded the bottom line. The same argument cannot be made today without knowing the actual prices, not guesses.

To: David Harker who wrote (9015)	4/13/1999 2:37:00 PM
From: Ken Pomaranski	Read Replies (1) \| Respond to of 10072

<< This is one example of a post made entirely of conjecture. None of us know what price IOM charges Dell. None of us knows if that is a profitable price for IOM or not. You could write 20Meg of this text and still would not KNOW what is taking place with real money out there. Past statements by IOM do not necessarily define the current price structure, or profit structure. >> GIVE ME A BREAK! This is called using logic. Go ahead and believe that Iomega charges Dell $150 per device, and Dell sells it for a huge loss at $79. I don't care, it's your money... FACT 1: Dell makes money off the drives they sell. FACT 2: The MOST Iomega could make per drive is ($79 - factory cost) FACT 3: Iomega makes more off retail drives (they told us), and their balance sheets prove it. FACT 4: Iomega's been making less and less money as shift towards OEM has increased. FACT 5: Iomega stated that they HAD negative margins on their OEM drives. FACT 6: cost structures don't magically change overnight. FACT 7: Making predictions based on the past is much more reliable than making predictions pulled out of thin air. I DO agree, however, that Iomega has a better chance of making money with the ZIP250, than the ZIP100. Since you are making the assertion that my arguements are based totally on conjecture, why don't you come up with another scenario that fits the data. Explain, exactly why my ~$50 isn't a good guess? Explain why Iomega lost so much money last year if all their product lines where profitable? Go ahead, I challenge you! Otherwise quit blasting posts that don't support your dreamland position in Iomega. kp