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Technology Stocks : Intel Corporation (INTC)

INTC 34.30

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3:59 PM EST

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To: Jim Patterson who wrote (48892)	2/26/1998 1:22:00 PM
From: Mary Cluney	Read Replies (1) of 186894

Jim,>>>Do you realy think that Delta Airlines is going to entrust its reservations system to anyone other than who ever currently handles it ?...... This does not mean that some of them won't abandon their old systems in favor of WSIWYG. I know the competition for this type of business is very demanding.<<< My guess is that DAL (like a lot of other major airlines and corporations with $XXX billions invested in pre 1995 systems) spends minimum $500M/$1B annually for Information Technology. They may have a range of applications that kind of stand alone, sort of, (Frequent flyer miles, bagage handling, Consumable Inventory, payables, overseas payroll, ad infinitum...) and have an ongoing maintenance and replacement cycle. If hardware prices come down sufficiently and performance increases - new wysiwyg applications can decrease training requirements significantly. Some of the older programs are not very user friendly. They require users to go to school for training and memorization of a lot of arcana. Eventually though, even some of the bread and butter programs are going to be replaced by programs with more modern interfaces and greater functionality. A lot of these users are already grumbling about the way they have to interact with these older programs - not understanding the enormous cost and technical difficulty to replace them. They see their kids vaporizing villians at the click of a mouse or joystick and wonder why they have to enter and manipulate arcane code in a jungle of incoherant input/output interfaces. Younger employees will have a hard time understanding this and dealing with these older type programs. There is a time and season for everything to change or be upgraded. Regards, Mary

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