First Adopter

-1990: 26 years old, paid $440,000 (all his money) to buy 25% of Mediagenic (Activision) bankrupt company. The company had rights to Joe Montana football, Myst, Infocom text games, Pitfall, River Raid, Kaboom, Mechwarrior
-first 2600 game was Kaboom, Pitball, River Raid, Activision hockey, Zork, Hitchhiker Guide’s to the Galaxy
-Bobby started a company in 1983 making [...]

2/15/10 Session Notes
-introduced by Larry Williams, friend of Demark and a commodity trader for 40 years
-clients of Demark include Soros, Steve Cohen (special advisor), Fitch Bros., Cooperman, Tudor (executive VP), Steinhardt, John Burbank (Passport Capital)
-website: www.demark.com
-he likes to buy into weakness and sell into strength, opposite of the trend followers in 1970s
-61.8% and 38.2% are [...]

“Before every day you go to sleep. Ask yourself one thing. Did you do every single thing you could today to make sure you did your best? It’s hard to answer yes, every single day. I don’t like to look at it in terms of me out-working the competition. I like to look at it [...]

-view themselves as company builders than financiers
-3 generations of partners
-Al Gore is “a nerd, a techie”, gives great investment insight, not a door-opener for them
-475 investments in 33 years, $100B annual revenue, 400K jobs, 173 IPOs, 166 M&As, $500B+ market cap
-mercenary vs. missionary culture, both work, but he prefers the latter
-3 sectors: digital/IT, life sciences, [...]

Game Group (GME of UK): reports 5 weeks sales ending January 9, 2010 of -12.1% y/y and 49 weeks -11.1% y/y. Company notes significant improvement since Christmas
Gamestop (GME): new 2010 capital allocation strategy. $300M share buyback when completed 10% EPS accretion. Believes cash flow will be at or above existing levels. $600M cash flow from [...]

BBY: December 2009 sales +13%, comp store +8.2%. U.S. domestic home office +28.5% (notebooks, cellphone driven), consumer electronics +4.5%, appliances +16.2%, services 0%, entertainment software -0.6% (increases in videogames offset by music/movies)
Sick (as in good) computer and cellphone numbers.
TSM: Digitimes reports 2010 capex will be $4.5 billion up from initial internal forecast of $3 billion
DRAM: [...]

MSFT: sold 39 million 360 consoles world-wide, 20 million are on Xbox Live. 500 million 360 games have been sold since launch, 13 per console
SNE: last five weeks of 2009 sold 3.8 million PS3 systems, up 76% y/y. There are 38 million registered PSN accounts world-wide. PS3 can run 3D games and movies after a [...]

I sat through the launch webcast and wrote down some thoughts.
Winners
-T-Mobile: they have a hot iPhone buzz worthy product to sell exclusively at launch
-Consumers: finally some decent competition to Apple’s iPhone is always a good thing. Google Nexus One has a faster CPU processor, better 5 mega-pixel camera with flash and video recording, 2 microphones [...]