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Technology Stocks : Apple Inc.

AAPL 259.48

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Jan 30 3:59 PM EST

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To: Richard Habib who wrote (14375)	6/7/1998 5:22:00 PM
From: Zen Dollar Round	of 213183

Since USB takes the place of serials and for many devices scsi that leaves a floppy and 3 slots to differentiate the products from the iMac while low end G3 desktops are selling at the same price point as the AIO with everything you mentioned. Next time around I hope to see a more straight forward product line down at the bottom. You're forgetting that the G3s do not come with a monitor, and of course, with the AIO it's built in. That adds at least another $200 to the price of a G3 even if it's only as good as the one in the AIO. Reports are that education sales are just fine (didn't the Apple Store recently announce a record day with it?), so while there may be a little cannibalization of the AIO with the iMac, I doubt it's much. The feature sets are different enough that the AIO is fine right where it is. Remember, the iMac is targeted at first time buyers wanting an inexpensive Internet capable computer. In that vein, I think it will succeed well.

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