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Technology Stocks : Hewlett-Packard (HPQ)

HPQ 24.50

-1.0%

10:48 AM EST

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To: Jerome who wrote (303)	5/9/2002 11:23:20 PM
From: MeDroogies	Read Replies (1) of 4345

That is precisely why the white box model would fail. As I said, it's great leverage. The fear that Wal-Mart would do just that is a great bargaining chip. But to actually do it carries far too much risk and cost. Retailers make their money on razor thin margins. They may not make their money on the PCs themselves...but why add to the loss? Particularly if people are reluctant to buy the Wal-Mart XP 5000.... People KNOW Wal-Mart is crap. But they buy because it's cheap enough to be replaceable. A PC isn't cheap enough to be replaceable, so why trust a name that you only trust to buy "cheap" from? Best Buy or CompUSA would have a better chance of pulling it off, but even then it's a stretch. As for Wal-Mart...did anyone here know they had their own ISP for a while? Cut-rate deal. Sucked. Nobody uses it. And their salesmen were SUPPOSED to push it with the PCs they sold....so it's not always just the way you think it works....

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