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Re: Sigma ONLY by: byronangel (M/Washington State) Long-Term Sentiment: Strong Buy 10/27/05 11:00 am Msg: 88207 of 88222 The following are additional comments from today`s report from Roth analyst Jay Srivatsa: SUMMARY We believe SIGM is designed into Philips` set top box, slated for British Telecom`s IPTV service. SIGM`s 8634 in the box increases the switching cost for Philips, in our view. The set top box is expected to include DVB-T functionality to support Freeview as well as a broadband return path allowing video-on-demand. The set top box is also designed to include a personal video recorder (PVR) capable of storing up to 80 hours of programming and capable of delivering High Definition content over IP. As such, given the complexity of the box, we believe the entry barriers are high for SIGM`s competitors. We note SBC in its earnings call confirmed that its IPTV rollout remains on track for launch in late 2005 or early 2006. At Telecom 2005 show in Las Vegas yesterday, SBC stated its goal of reaching 18 million households by mid 2008 having completed the first set trials successfully earlier this month. We note SBC has selected Motorola and Scientific Atlanta as its set top box suppliers and SIGM has been designed into both these boxes, in our view. Sigma`s partnership with Microsoft is valuable, in our view. Given that Sigma Designs in the only chip supplier that successfully supports Microsoft`s IPTV platform, we believe the partnership with Microsoft could provide SIGM exposure to several other IPTV service providers beyond SBC Communications and British Telecom namely Telecom Italia, Swisscom, T-Online among others. We believe Bell Canada could follow closely on the heels of SBC in launching their IPTV services as well. In addition, we note SIGM is shipping to IPTV deployments by China Telecom, China Netcom, Korea Telecom, Softbank and Leo Palace in Japan among others and is working with LG Electronics, Samsung, Amino, Wegener and other STB manufacturers to address IPTV opportunities that are emerging in other countries as well as regional telcos in the US. These telco IPTV opportunities represent the biggest growth opportunity for SIGM, in our view. We believe IPTV is gaining momentum and these announcements are a reflection of the growing interest by telcos worldwide to launch video services. With its SMP8634 product, SIGM is the best positioned codec company in the IPTV space, in our view. We expect several of these announcements to come to fruition beginning in Q1:06 making 2006 a breakout year for SIGM. We believe several press announcements related to SIGM`s IPTV design wins could be imminent. We are reiterating our Buy rating on SIGM with a 12 month price target of $15. |
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| aus der Diskussion: | SigmaDesign - kurz vor break des ATH |
| Autor (Datum des Eintrages): | amorphis (27.10.05 18:01:19) |
| Beitrag: | 508 von 4,073 (ID:18472018) |
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