/biz/ - Business & Finance

>>56759874
I would have be shocked to hear it's anything less than adequate.

Why is there an assumption that the stocks of semis will continue to go up? The electronics industry never recovered from its 1980s highs, and there was the assumption in the 1980s that electronics would dominate the economy in the future. Well, they do in a way, if you're just counting the numbers of electronics out there. But, these electronics companies aren't very profitable and their margins are slim, and most electronic companies profits come from things that aren't electronics. A lot of electronics companies are dead. And why? The profit margins got too low because of all the competition. Why won't the same thing happen to semis? Is the barrier to entry just impossible for new companies to break in?