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Technology Stocks : Commerce One Inc - (CMRC)
CMRC 3.740-4.3%Jan 16 3:59 PM EST

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To: Hands Off who wrote (1119)4/12/2000 10:46:00 PM
From: Hawkmoon  Read Replies (1) of 1938
 
What free and inexpensive software might that be?

AMEN!!!!

This crap about companies setting up, committing, and relying upon "Free and Inexpensive" software systems to operate their MULTI-BILLION DOLLAR logistical networks is complete HORSECRAP.

Pure and simple.

No one is stupid enough to tell suppliers to hook up whatever "free and inexpensive" software interface to the supplier auction site, especially when no one will be able to ascertain the actual compatibility of such systems to properly communicate with each other real time and accurately reflect the current bids being placed on certain supplier contracts. At least I hope that they aren't that stupid.

That's comparable to hooking andy variety of disparate Netware, Unix, Linux, Sunsparc, MacIntosh, and NT networks running a variety of disparate database applications and expecting them all to perfectly operate and communicate in real-time and without system glitches.

It that could happen easily there would be a whole slew of unemployed MCSE/CNEs instead of the current massive shortage of them.

Is anyone, as a the COO of a company willing to risk a failure of their massive JIT supply system on "free and inexpensive" software?

Hardly. That, again, is why I don't buy the argument that CMRC will fail to generate significant revenues off of their B2B platform. It just defies all logic and good sense.

If their 54 customers carry out $1 trillion in transactions via their suppliers network, AND supposing that CMRC receives only 1/10 of 1% of that trade as a "click fee" or revenue sharing payment, that will generate $1 BILLION in
revenue for the company on an annual basis.

And since I understand that the partners are licensing the software from CMRC, and paying for the creation and construction of the supplier system, it isn't costing CMRC a dime of their own cash to build this system.

And since they are supposed to receive maintenance fees for maintaining the functional status of the system on an annual basis, their cost for staffing the maintence and operations team will be billed to the customer/partners.

Now correct me if I'm wrong, but that translates into TREMENDOUS POTENTIAL FOR FREE CASH FLOW AND EARNINGS, without a lot of capital costs to CMRC.

Is it in the best interest of the customers/partners to pay CMRC 1/10 of 1% on every dollar so that they can cut 10-20% off the cost of their current paper driven supply chain??

You betcha. And I'll believe that until someone shows me direct evidence to the contrary.

To paraphrase the old adage, "you don't get rich working forty hours a week. You get rich off of putting a hundred people to work and collecting a percentage off their forty hour weeks".

And you'll see the same thing happen with INTD and the Spectrum Consortium that is being assembled right now.

Wink, Wink, ... Nudge, Nudge.... :0)

Regards,

Ron
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