HDL re: do you want to be holding a lot of dell when that happens-and growth turns out to be waaay less than, 30 %, for instance?
There is a long article, which as a lawyer you should like, that includes one of the current drivers to Dell's continued torrid growth for the next 4 years (my estimate). Here is the link and and excerpt from the article:
thestreet.com
"If you think about where we are with the virtual economy at the moment, it's still only 2% of retail sales, and it's about 3.5% of wholesale sales. First one looks like it's growing at 100% year over year; the other one looks like it's growing 150%. If you think about where we are with the Internet at the moment on a company basis, Cisco and Dell (DELL:Nasdaq - news) are the preeminent examples of B2B and B2C. Every company on the planet wants to look as much like Cisco and Dell as it possibly can. It's the most efficient way to do business, reduce cost of goods sold, improve productivity, etc. And everyone will get there to a degree, depending on what kind of business they're ultimately in. The economics there are exceedingly compelling on the B2B side. Then you've got the B2C side. We go to the Internet for convenience, for fulfillment, for price. If you think about the Internet for consumers, it's cumbersome, it's a pain to use. It's still very crude. It's also not a mass market -- but it will be. And when it becomes a mass market, that's going to demand a lot more routers, switches, servers, bandwidth, storage.
TSC: What companies that we don't consider technology companies right now do you think might really benefit from the advent of the Internet?
Jeff Applegate: Oh, I think everybody will. " |
