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


To: Jock Hutchinson who wrote (9173)4/16/1999 1:14:00 PM
From: John Solder  Respond to of 10072
 
I would be very happy to sell the 250 razors for a loss to ensure that I could sell blades for years to come. Without a doubt.

The real beauty is that they are and will be selling millions of machines with positive margin Zip 250's built in. Additionally, millions and millions of hugely profitable, patented and exclusive 250 disks will be sold as well. Let's face it, managing growth is one of the most difficult things a company can try to do. Many will fail to grow, many will try to expand product suites, some products are bound to fail, that's business, that's why they have write-offs. ZIP is the bread and butter. The older 100 MB less profitable model will be fazed out and leave the newer high margin, ubiquitous ZIP as the medium of choice. Clik! may grow to fill a niche where Zips don't really fit. Zip dominates, all the rest is just background noise. Once established, I can see a 100MB Clik! around the corner. Common sense dictates digital camera users will buy many disks. The argument that the tie ratio will remain low is the height of stupidity. Just wait, soon you'll be able go walk into Kinkos drop down your Clik! disk and get high quality color printouts of your favorite shots. Very few folks will re-use disks to any appreciable degree. They'll be saved like everything else.