The majority view the PC's increased 3D capabilities as enhancing market growth rather than ruining the game for SGI. We agree that 'leaders need followers,' as SGI puts it. The critical issues in our mind are can SGI maintain its visual computing lead (we believe it can), and will uses demand keep up with SGI's capabilities (we think so for the next 3-4 years at least). Our rating is Strong Buy based on the new product cycle.'' -Morgan Stanley US Investment Research, Corporate Buyers' Survey, 1996.