ChipInvestor.com Offers Unconventional Views on How Semiconductor Companies Can Create New...

Business Editors/High-Tech Writers

SEATTLE--(BUSINESS WIRE)--March 22, 2001

Chip companies can stimulate new demand for their products by focusing on the performance of their chips and by explaining to the end-users how they will benefit, according to Manoj Nadkarni, the publisher

"Chip makers do a fine job of developing advanced chips and controlling costs during the slowdown. However, with a few exceptions like Intel's (Nasdaq:INTC) microprocessor launches, semiconductor companies have ignored a need to communicate advantages of new chips directly to businesses and individuals who use electronic products," says Nadkarni. "The conventional approach is to market chips to systems houses such as cell phone and PC makers who sell to consumers and businesses. The end product demand is often elastic; systems companies are more interested in creating brands. Sales would increase if chip companies can enthuse end-users."

ChipInvestor, published by an MIT-educated chip industry veteran, studies semiconductor companies, making it a knowledgeable resource on industry dynamics and chip stocks. The demand creation ideas are explained in detail at the ChipInvestor subscribers web site.

"For example, over $25 billion in DRAM chips are sold annually. Memory producers will gain tremendously by educating PC buyers the benefits of putting at least 256 MB in a PC, or switching to a faster memory like DDR (double data rate) or Rambus, or better yet, both. PC applications such as Internet content creation, text translation, photo/video editing and the new operating systems run better with more and powerful DRAM. The same logic applies whether you make chips for digital cameras, cell phones or optical networks," Nadkarni continues.

ChipInvestor has been referred to in leading media including BusinessWeek, Online Investor, Worth, Forbes.com, Electronic News, Investors Business Daily and The Washington Post. The company's research, available by subscription, is used by both individual and institutional investors. Its web site is www.chipinvestor.com.