Lawrence, re: I say phttpt (BTW, how do you pronounce that?)
I think that you agree, as I do, that cost basis is a primary driver of success in current technology, especially where there is no real proprietary advantage.
I do believe that there is room for "consultant" type companies that provide everything from concept to hardware/software to implementation/training and eventually service/upgrades. The revenues of IBM, HP, Sun, EDS support that there is demand for outsourcing technology so that companies can concentrate on their core competency. You are right, though, this is a business with a low barrier to entry, no proprietary equity, and thus low margins and increasing competition.
John |
