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-  THE FRIDAY LETTER  -

(emailed weekly, from Gilder Publishing,
for friends and subscribers)

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 | http://www.gilder.com/ | Issue 334.0/March 28, 2008

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HEADLINES:

-  The Week / The Missing Element: A Path to Huge Profits
-  Friday Feature / The Devil’s Delusion (Book of the Month)
-  Friday Blogger Bonus / ANAD’s Exquisitely Exacting Parts
-  Readings /


THE 12TH ANNUAL GILDER/FORBES TELECOSM CONFERENCE
TELECOSM 2008: The exaflood

Hosted by George Gilder and Steve Forbes | May 27 – May 29
The Sagamore Resort | Lake George, New York

 
The Big Switch author Nicholas Carr; author David Berlinski; “Fractals of Change” blogger
Tom Evslin; Forbes publisher Rich Karlgaard; author Andy Kessler; CalTech’s Carver Mead; Ethernet Inventor Bob Metcalfe; former Essex Chief Technologist Terry Turpin; Internet traffic guru Andrew Odlyzko; tech advisor Nick Tredennick; Alacritech CEO Larry Boucher; Anadigics CEO Bami Bastani; AT&T’s Joe Weinman; Audience CEO Lloyd Watts; Cavium CEO Syed Ali; EMC’s Josh Coates; Equinix Chief Scientist Lane Patterson; EZchip CEO Eli Fruchter; IBM’s Dennis Quan; Infinera CEO David Welch; Luxtera CEO Greg Young; NetLogic CEO Ron Jankov; Nvidia Chief Scientist David Kirk; OToy Founder Jules Urbach; RMI CEO Behrooz Abdi; Chris Cooper and Alan Cummings of Seldon Labs; Wired’s Spencer Reiss; USVO; AND MANY MORE…

Register before MARCH 31 for the best deal on Telecosm 2008!

Visit www.TelecosmConference.com to register online today.

 

The Week / The Missing Element: A Path to Huge Profits

George Gilder, Gilder Telecosm Forum (3/21/08): All current computer and networking systems suffer from missing elements that could enable the integration of electronic logic and memory with photonic and wireless communications. Moore’s law is facing a fiberspeed challenge and a mobile-power crunch. Not only must chips operate hundreds of times faster but they must also consume radically less power. Resolving these issues offers the path to huge Druckerian profits over the next decade.

The chief obstacle in fixed systems is that fiber optics capabilities are advancing at least three times faster than the Moore’s law doubling of electronic performance every 18 months. A phenomenon once known as Gilder’s law, the faster rise of optics was obscured for several years by thousands of bankruptcies of optics-based carriers and suppliers. But the law continues to apply.

For example, over the last decade Moore’s law has brought a tenfold rise in electronic clock rates—from roughly 250 MHz in 1997 to 2.5 GHz today.

Meanwhile measured in widely available Ethernet products, optical systems have increased their speeds roughly one hundredfold: from 100 megabits per second (fast Ethernet) available in 1997 over multimode fiber to 10-gigabit Ethernet today over single mode fiber. Plans abound for 100-gigabit Ethernet products for introduction in the next two years. By other measures, combining number of wavelengths with capacity per wavelength and transmission distance without regeneration, optics has increased its capabilities 11 thousandfold in the last ten years.

Filling the gap between Moore’s law and fiberspeed and Moore’s law and mobile speed per watt are architectural innovations in both networks and systems. These advances enable faster electronic systems that can be integrated with fiberspeed and wireless networks.

Companies representing this paradigm include EZchip (EZCH), NetLogic (NETL), Cavium (CAVM), Nvidia (NVDA), and AMD/ATI. All perform at fiberspeed and fit the new network paradigm. EZchip, NetLogic and Cavium all meet the challenge of IPv6, which increases threefold the amount of data that must be processed at network nodes. Nvidia and AMD both are capable of rendering images at fiberspeed.

These advances also provide investment opportunities that span the industry’s supply chain from semiconductor wafer fabrication, to microprocessor design, to optoelectronic devices to network architectures, to new computer and handset I-O. (Find publicly traded examples of each of these types of companies by logging on to the Gilder Telecosm Forum,
http://www.gildertech.com/). All supply currently missing elements to complete the prevailing system of information processing and communications.

To
read more of George Gilder’s posts and those of the Gilder Telecosm Forum members, visit http://www.gildertech.com/ and become a Forum member today.
 

The Gilder Telecosm Forum

The next logical step in the evolution of the Gilder Technology Report (published by Gilder Publishing, LLC in association with Forbes Inc., 1996-2007), the Gilder Telecosm Forum is the web’s premier technology investment discussion forum.

 

To learn how to join this powerful network of talented, tech-savvy investors and thinkers online daily to debate, discuss, and decode new and emerging technologies and share valuable and actionable investment advice, visit www.Gildertech.com today.


Friday Feature /
The Devil’s Delusion (Book of the Month)

George Gilder: For most of the last century, Leftist intellectuals have been nagging, lecturing and intimidating conservatives in the name of “science.” From Marx’s atheistic class war screeds wrapped in a mumbo jumbo of “scientific socialism” to Sigmund Freud and Alfred Kinsey pruriently pursuing sex in white coats, to Rachel Carson and Barry Commoner castigating capitalism and chemistry in scientistic jargon, they flout and flail the accumulated wisdom of the ages as if it were merely a cloud of superstition that they had transcended through their mastery of the behavior of the human id or the ten-spined stickleback or the Hamadryas Baboon or the Higgs boson or the strange quark. They claim to have debunked man and God, proving the animal essence of one and the non-existence of the other. Nobel Laureate Albert Gore foists on the public his climate change chimeras for all the world like a physician posing before a waterfall in a sylvan glade and claiming that his new brand of coffin nails for global capitalism is favored by “four out of five doctors.”

Now David Berlinski has written a book, The Devil's Delusion, to be published in next two weeks, which says April Fools to the barbarians of specialization who currently dominate the philosophy of science. A sophisticated scientist and mathematician himself, he shows that not only is atheism totally unsupported by any scientific evidence but that atheism undermines the pursuit of scientific truth itself by inducing physicists to pursue reductionist goals (particles and strings) that yield no wisdom or truth about the universe.

Scoffing at the infiniverses of Richard Dawkins and the alien visitations of Francis Crick and Fred Hoyle, he shows that effective science benefits from a belief in a monotheistic God.

David will be presenting these ideas on opening night at Gilder/Forbes Telecosm 2008  in May (see:
www.TelecosmConference.com).


Available Now on Amazon.com. Order Your Copy Today:
http://www.amazon.com/exec/obidos/ASIN/0307396266/gilderpublish-20

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Friday Blogger Bonus / ANAD’s Exquisitely Exacting Parts

Gilder Telecosm Forum member (3/21/08): Any thoughts on Anadigics (ANAD)?

George Gilder, Gilder Telecosm Forum (3/21/08): We have seen nothing that would change our view of the long run potential of ANAD. An increasing numbers of cell phones and PDAs adopt data services and Internet access that require the high performance linear power amplifiers dominated by ANAD. The teleputer industry is moving toward the ANAD capabilities (at a far faster rate than rivals) are mobilizing to supply these exquisitely exacting parts. The chief setback experienced by the company, you should recall, is a huge surge of demand that the company could not meet without new investment in manufacturing capacity.

Meanwhile, Paul McWilliams did an extensive detailed report on the company (“Anadigics: A Second Look,” February 27) after an in depth interview with CFO Tom Shields, who dispelled nearly all his misgivings.

 

To read the complete post, visit http://www.gildertech.com/ and become a Gilder Telecosm Forum member today.

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Readings
/

AT&T Set to Offer Qualcomm Service To Broadcast Live Video to Cellphones
http://online.wsj.com/article/SB120665707720969923.html?mod=technology_main_whats_news

Industry Leading Keynote Speakers Will Reflect on Growth of Embedded Systems Over the Last 20 Years
http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/03-27-2008/0004781193&EDATE=

Is Global Investing Dead?

http://www.forbes.com/home/personalfinance/2008/03/26/china-india-asia-pf-ii-in_hg_0326soapbox_inl.html

 

Google's Wi-Fi Dreams

http://www.technologyreview.com/Infotech/20482/

 

Foldable, Stretchable Circuits
http://www.technologyreview.com/Infotech/20481/

Samsung Cuts Sales Forecast

http://online.wsj.com/article/SB120671156648171699.html?mod=technology_main_whats_news
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Friday Letter Editor: Mary Collins George / mcollins@gilder.com
 

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