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URL:  https://boards.fool.com/crees-long-term-potential-10935404.aspx

Subject:  Cree's Long-term Potential Date:  6/9/1999  6:09 PM
Author:  stocksure Number:  102 of 41740

Whenever I consider investing in a company, I attempt to take a long-term look into the future of the company and the market it serves. For example, when I bought into Microsoft seven years ago, I saw a world where almost everyone wanted and needed a computer for dozens of purposes, and how one company could tower over this industry by providing the essential software that nearly every computer uses to run. Four years ago, when I decided to invest in AOL, I saw the spectacular growth potential the internet as the device that would transform the PC into a communications tool, and much more, and how one company could be the prememinent source of delivering the data people wanted, and providing the data itself.

So now I come upon Cree Research, and what I can forsee is a world dpeendant upon blue lasers. Currently the world depends upon red lasers, but as all of you probably know, and as I've just recently learned, the blue laser is far superior, adn the possibility of a world dependant on blue lasers instead of red lasers is very likely. Once the technology progresses far enough, I could see blue lasers everywhere: in every printer, in every DVD drive, in every othe data storage device, in every LCD monitor, in nearly every desk lamp, in many other various electric lights, in every cell phone display, in every car dashboard, in every semiconductor equipment plant, the possibilities are endless.

However, technological knowledge is never enough for invesment success. For this, one needs to know and understand which companies will capitalize on the given technology, and in the case of blue lase lasers, I'm at a loss.

There seems to be too companies at the forefront of this industry: Cree Research and Nichia. The two companies have taken extremely different paths, as Cree is using silicon carbide to emit a blue laser beam, while Nichia is using sapphire. I'm not an engineer, so I have little knowledge as to which technology is superior in performance, which is superior in cost, and and which will win out. I'm sure that whichever company does win out, provided they have patent protection for their technologies, stands to be a multi-billion dollar powerhouse in the early 21st century.
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