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Pastimes : Ask Mohan about the Market

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To: Cynic 2005 who wrote (10511)	12/8/1997 4:01:00 PM
From: Bilow	Read Replies (1) of 18056

Hi Mohan; About those computer average sales prices. I noted somewhere over the weekend that ASPs on both consumer and business computers are declining. Funny thing on Saturday. I bot a used Miata over at ParkPlace motors in Bellevue, WA. ('96 with only 5000 miles on it. Hard to enjoy a rag top in Seattle. :) They sell a lot of stuff to the MSFT crowd. But they printed their forms with a dot matrix connected to what I was told was a 10-year old DOS machine. They said they weren't in the least bit worried about year 2000 problems. The dealer doesn't have any other branches, so their accounting probably doesn't have that many entries, they could have done it by hand. I've got a suspicion that business computers are approaching the maximum needs of business. When that finally happens, the impetus for computer replacement and upgrades and software changes and all that will be greatly reduced. In other words, it looks to me like the PC business is slowly begin- ing to saturate and stabilize. And that eventually causes extremely low margins and pricing. (BWDIK) -- Carl

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