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Technology Stocks : Dell Technologies Inc.

DELL 133.92

-4.9%

3:59 PM EST

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To: Patrick E.McDaniel who wrote (132110)	6/9/1999 2:45:00 PM
From: rudedog	Read Replies (1) of 176387

Patrick - Everybody and his brother has a scheme to make money out of nothing on the internet, and most of them involve somehow getting the eyeballs focused on a product or getting ad revenue. I don't believe that DELL will be able to reach a significantly larger audience for DELL products - after all, the people who get the service will be 99% DELL customers, and DELL already has high retention of existing customers. I also doubt if the ad revenue will do more than offset the basic cost of providing the service, if that. Unlike the average inut startup, with small float, low costs, and therefore little inertia, DELL already has a well known business model which will not likely be moved by the addition of a loss leader low profit business. Sorry, I just don't buy it as a business proposition. Great marketing trick though, if they follow through.

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