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http://www.businessweek.com/bwdaily/dnflash/sep2000/nf20000920_937.htm

Celera vs. Incyte: A Biotech Battle Royal
These two highflying -- and way risky -- gene-mapping rivals could be on the cusp of greatness. For now, neither is anywhere near profitable

(1) Actualy INCY has been profitable in the past and is not profitable at the moment by choice because it chooses to invest in R&D to compete on favorable terms with CRA.

(2) INCY has patents; CRA does not

(3)INCY can buy PEB sequencers and do what CRA did it that becoes relevant 9in fact INCY is adding sequencing capabilities)

(4) The AFFX law suite is relevant to a small part of the business. Other legal engagements should defens INCY's turf

(5) INCY has and consistently pursued a well defined business plan, CRA has not

(6) INCY has build a substantial customer base over time and now has a majority of the subscription business; so revenue growth from that area is small. Royalty revenue is still a few years off pending R&D by its customers.

(7) There are doubts about the utility of the CRA data at this point. There are no doubts about the utility of the INCY database. Indeed there have been clowing reviews by customers.

(8) CRA is a one man show, INCY is a real company

(9) Why haven't the potential subscribers to the CRA data signed up rapidly...maybe CRA has an unlisted telephone number? (Hey guys drop in it is at the intersection of Gude Drive and 355, just down from the King Farm)

(11) What do MOT, JNJ, IBM, etc. see in INCY?

My only complaint about INCY is that I would like to see them have their own sequencing capabilities and work on the junk DNA (development). The lead time for profits are longer than for expressed genes, but it wil be an important field.

http://www.soapbox.com/english_exec/v?op=d&d=321&a=MEM0000003449&c=287

The only thing I like about CRA is their relationship with Geron Corp. and the posibility that they will generate sequences for genomes that will not be made public for years...

By the way Venter has proved that the human genome can be sequenced for about $50 million dollars and in roughly 18 months (from scratch!!). The current market cap of CRA is about $5 billion dollars and they have no intelectual property except the (publically available) human genome sequence. Why would any company buy CRA? Besides CRA is already owned by a large company. For a pharma to buy INCY would also destroy the business plan. Why buy INCY when you can subscribe to the database?

There are at least five people that post regularly on the CRA board that are a lot more competent than Mr. Shook.

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