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Technology Stocks : Compaq

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To: Satyr who wrote (16343)2/3/1998 2:26:00 PM
From: MulhollandDrive   of 97611
 
Thanks for the article, a couple of things though, "Now Compaq has purchased what's left of DD: essentially they've bought a sales and support staff. It's a very large sales and support staff, which will be difficult for Compaq to digest>"

First let me say that it should be obvious if there is any overlap of staff, there will be some cutting where justified. But to say that CPQ essentially purchased an "employee pool" is ludicrous. I doubt that the author has any insight as to what CPQ's market plan is as it relates to this merger. Second, CPQ wants to get into the high margin systems that IBM has enjoyed for some time now. If the low end pc does indeed become "commoditized", it would appear EP is taking his mandate to maximize shareholder value seriously....bp
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