Siebel Systems (SEBL) - strong buy? Message Board

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Technology Stocks : Siebel Systems (SEBL) - strong buy?

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To: investorgal who wrote (1291)	3/18/1998 6:45:00 PM
From: Lee L.	Read Replies (1) of 6974

I personally think that this is a good thing for the company. The current pricing is such that a company will easily spend $2,000 to $3,000 per user (that's with a 'great' discount). This presents a massive financial barrier to even large companies. I believe that an average of around $1,000 to $1,500 per user would go a long way to increase the product's usage in many, many more companies. I know that lots of people would disagree with a strategy of lower prices, but I firmly believe that Siebel's user base would sky-rocket as a result. Siebel is also terrible about nickle-and-diming customers for new releases. For example, when version 3.0 came out, Siebel Anywhere was an add-on cost. This utility allows you to manage upgrades to user clients. Instead of being included in base maintenance, this was a $100+/user add-on. I know that Siebel makes short-term revenue gains on this sort of thing, but they make it extremely difficult to justify the ongoing maintenance charges that are supposed to pay for these things, which makes it even more difficult to justify new Siebel expenditures.

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