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Technology Stocks : Y2K (Year 2000) Stocks: An Investment Discussion

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To: Josef Svejk who wrote (9152)1/23/1998 8:50:00 PM
From: Jeffrey S. Mitchell  Read Replies (1) of 13949
 
Svejk, re evangelists and Apple as a Y2K play...

Did you know that employees at MSFT are called evangelists? It even says so on their business cards. That's why it is sort of funny that these Apple lovers have "borrowed" the term for their own use.

Both PCs and Macs sold today, I am pretty sure, are Y2K compliant. I think it is also safe to say that Macs were compliant much earlier than PCs. Thus, if a micro needs to be replaced in the Year 2000, it will most likely be a PC and not a Mac. Ironically, this makes Wintel companies a better Y2K play than Macs since Wintel users are the ones forced to shell out the extra bucks and I would bet most buy another PC!

However, since we all know how expensive it is to fix Y2K problems on mainframes, and since the money has to come from somewhere, perhaps a better case could be made that microcomputer companies might see a decline in revenues if corporate America is forced to divert money from related purchasing accounts. Database companies like Oracle and Sybase are already reporting Y2K is the reason their earnings tanked last quarter.

- Jeff
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