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

To: unclewest who wrote (21037)	5/29/1999 7:55:00 AM
From: jmanvegas	Read Replies (1) \| Respond to of 93625

Uncle - what's your take on IBM's "drop the RDRAM" situation. This probably will cause a drop on Tuesday - how bad who knows? But it has been my understanding that IBM was always a fence sitter regarding RDRAM and never made a a guaranteed committment for RDRAM. IMO, they will fall further behind in their losing money PC business to DEll & CPQ. And that's one of the main reasons for IBM not getting aboard. It's all about money. IMO, paying royalties to RMBS is paying INTC indirectly what with INTC's major warrant position in RMBS. In addition, any support for RDRAM at this time is probably overkill in IBM's opinion concerning the Internet. When IBM sees the demand side of the equation shift for video conferencing and more intensive needs, they will then make the shift over to RDRAM. But right now, they probably will sit on the sidelines and see how well Dell, etc. does trying to sell the more expensive PC's with RDRAM inside. Still, if RDRAM has captured 50% of the PC DRAM business by 2001, that is good enough for me. We'll see who has more power and influence in driving the need for RDRAM - INTC or IBM. My bet is on INTC, and therefore, RMBS. jmanvegas