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Technology Stocks : Compaq

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To: hlpinout who wrote (46406)2/22/2000 10:27:00 PM
From: hlpinout   of 97611
 
February 21, 2000, Issue: 774
Section: Infrastructure

Dell Unveils Dual-Processor PCs -- Windows 2000 Helps
Fuel Growth In Market; Compaq, Ibm Plan Similar Models
For Business Users
Paul McDougall

Dell Computer last week responded to what it says is a growing demand in
the workplace for more-powerful desktop computers, with its first
dual-Pentium business PC, the OptiPlex GX300. Dell officials say employees
engaged in data mining and who run large spreadsheet applications will benefit
most from the added horsepower. "There is this certain segment within the
corporate environment that can always use more speed," says GX300 brand
manager Harris Gilbert.

Dell will soon have plenty of competition in the market for dual-processor
desktops. A source close to IBM says the vendor will introduce a
two-Pentium desktop within two months. Meanwhile, a Compaq spokesman
says the company will begin selling such systems in the second quarter under a
rebranding effort, in which the computer maker will merge its workstation
products into its Deskpro line of desktop PCs.


Helping to drive the market for such systems is Windows 2000. While most
industry benchmarks indicate that Microsoft's latest operating system does not
require significantly more power to run on the desktop than its predecessor, its
advanced Symmetrical Multiprocessing capabilities let dual-processor systems
deliver performance gains of up to 39% when running standard applications,
according to research group Competitive Systems Analysis.

Starting at $1,645, Dell's OptiPlex GX300 features a base configuration that
includes one 533-MHz Pentium III processor, 64 Mbytes of RDRAM, and a
6.4-Gbyte hard drive. It also includes a 32-Mbyte 3-D video card and a
built-in 3Com 10/100 networking port. With two Pentium III processors
installed, the same configuration is priced at $1,995.

The GX300's Intel 820 chipset also will let users take advantage of
high-speed-albeit pricey-Rambus memory. The minitower chassis offers
toolless entry to the system, which supports Web enterprise management
through Dell's OpenManage program.

Despite the impressive specs, some analysts say, machines such as the
OptiPlex GX300 are overkill for most business users. Says Giga Information
Group analyst Rob Enderle, "There is very limited justification for this type of
system in the workplace."

---

At A Glance

Dell Optiplex GX300

Price: $1,645 with one 533-MHz Pentium III processor, 64 Mbytes of
RDRAM, and a 6.4-Gbyte hard drive; $1,995 with two 533-MHz Pentium
III processors

KEY Features

-Intel 820 chipset for supporting Rambus memory

-Toolless-entry case

-Support for Web enterprise management
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