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Technology Stocks : All About Sun Microsystems

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To: cheryl williamson who wrote (17894)	7/15/1999 10:45:00 PM
From: Charles Tutt	of 64865

You wrote: "That day may never come, however, and MSFT may wind up killing the goose that laid the golden egg if they don't realign their pricing to match the dramatic lowering of margins in the PC market." I agree, but let me add that I think MSFT is caught between a rock and a hard place. If they don't cut prices, they may stifle the market until inevitably a challenger arises (maybe one already has). But if they cut prices (and thus their monopolistic margins), their earnings will suffer and their stock may crumble from its lofty heights. BTW, I think if IBM had been a bit more prescient they would have done things differently; at the time, they didn't think there was much future in PC's. JMHO, of course.

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