Technology Stocks | 3DFX


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To: Michael G. Potter who wrote (16305)5/7/2000 8:06:00 PM
From: Yeagher   of 16960
 
Michael, I believe that fundamentally, Nvidia has the most compelling solution. I think it's more than just marketing hype that's pushing their products. It's excitement about new features. What kind of HDTV capability will the Voodoo cards have? I haven't heard anything in this area. And this isn't hype, this is something we should be able to use real soon. Hauppauge is supposed to release their HDTV card in June (that's all the info I have, don't ask for more). I think the lack of new compelling features (at least from my perspective) from 3dfx, and the presence of sure fire crowd pleasers from Nvidia (DVD playback that can look 3 dimensional at high resolutions, compatibility with HDTV hardware, T&L etc.), explain the disparity. You do raise many good points, but I don't really see any conspiracy here.

Yeagher

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To: Yeagher who wrote (16306)5/7/2000 10:03:00 PM
From: Joe C.   of 16960
 
Personally HDTV means nothing to me but getting rid of pixel popping and jaggies will make a huge difference. Ever since the V5 has been announced, I notice them on all my games. I think the new boards will make a huge difference visually and I can't wait to get one. As far as nVidia's popularity you can certainly say they own OEM. Almost every new pc buyer gets one of those boards on their machine. A few years ago I also got a Riva 128 with my Dell which I eventually replaced with a V3. I guess what I can't understand about nVidia is why they do so poorly at retail. When people have a choice they overwhelmingly buy 3dfx (per PCData). Maybe its' because anyone that wanted an nVidia card already got one when they bought their PC's at Sears. It certainly does seem odd doesn't it. Joe C.

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To: Yeagher who wrote (16306)5/7/2000 10:13:00 PM
From: Michael G. Potter   of 16960
 
Ummm, Yeagher, I assume that you're doing a general response to the "conspiracy" theories like I was. I don't believe them and think the GF2 has a good feature list. Not lots I need, but I bet it does open up little markets here and there for them.

Michael

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To: Joe C. who wrote (16307)5/8/2000 7:36:00 AM
From: dumbmoney   of 16960
 
I noticed that with the GF2, nvidia is supporting PCI once again. That should help retail sales a bit.

Regarding "HDTV" support, my understanding is that nvidia is providing a digital video input port. The HDTV card does the decoding and pushes the raw pixels over a cable to the nvidia card.

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To: Joe C. who wrote (16307)5/8/2000 1:59:00 PM
From: timbur   of 16960
 
If 3dfx wasn't as successful as they are in retail, we probably wouldn't still be here. It's their one area they can still cling to. I can't remember for sure, but aren't their retail margins pretty low?

I've heard people lambast Ballard for the branding strategy. I think his branding strategy worked, but the engineering execution sucked.

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To: timbur who wrote (16310)5/8/2000 5:44:00 PM
From: Obewon   of 16960
 
Talk about slapping Nvidia in the face with a metal gauntlet! THEM's FIGHTING WORDS!

voodooextreme.com 

Obewon

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To: timbur who wrote (16310)5/8/2000 7:21:00 PM
From: Joe C.   of 16960
 
Actually 3dfx's retail margins are high. Unfortunately they were selling to some OEMs at a loss. Joe C.

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To: Joe C. who wrote (16312)5/8/2000 9:09:00 PM
From: Obewon   of 16960
 
I highly doubt that 3dfx's retail margins on the Voodoo3 are very high considering the current alternatives.

Yes, selling to OEMs at a loss certainly didn't help things but 3dfx's gross margins on the retail Voodoo3 line are well below industry averages.

One of the questions I have is whether the contract with that OEM has ended yet. I know 3dfx said they wouldn't continue selling boards at a loss but that doesn't mean they can just cancel a contract on the spot.

VG/Obewon

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To: Obewon who wrote (16313)5/8/2000 9:57:00 PM
From: Joe C.   of 16960
 
Don't know what their current margins on V3 are but I have to figure they're quite low now after a year on the shelf. Kinda funny to think that after all this time the V3 AGP and PCI cards are out selling the TNT's, TNT Ultras, and TNT2's. Even the V2's won't go away and die after almost three years. Not sure about industry margin averages though I believe 3dfx has the lion's share of retail so they're probably skewing all the numbers down. Don't remember what that number was but I believe they mentioned it at their last cc and I remember being surprised. Anyway, the big numbers (sales & margin) come at new product intro time when demand is high. Good execution helps keep new products flowing and evens out revenues. Bad execution, well, you know .... Joe C.

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To: Obewon who wrote (16311)5/8/2000 11:31:00 PM
From: Plaz   of 16960
 

Heh, I love it. So someone at 3dfx is actually awake? Will wonders never cease.

They said that the V4 will have 2x FSAA in this interview as well, which is the first time I remember 3dfx saying that for sure. Good news for OEM sales of V4s.

Plaz

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