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To: MileHigh who wrote (21732)6/5/1999 12:02:00 PM
From: Dave B  Respond to of 93625
 
MileHigh,

I've seen the same thing happens in the hard drive business. The first vendor to bring out a new capacity point can charge a premium price (as defined by a higher than normal gross margin). Once other vendors introduce the same capacity point, then prices fall rapidly to a more normal gross margin level. The advantage is definitely to the quickest (assuming you bet on the right technology <G>).

Dave