david sosiak - Re.: ...self-destruct at mid night 2000.This is hardly the case.As long as companies continue to defer their Y2K plans,for whatever reasons,these companies will continue to benefit...
Let me add another perspective to life after year 2000. Nobody starts a business with an aim to self-destruct after two years unless they run scams. Are they scams? Is their earning real? So, what happens after year 2000? Here is an explanation. For many companies (body shops or tool vendors) y2k problem has created a "captivated" market (a new business opportunity) for y2k products and services. These products or services are needed to fix the bug in the next 6 quarters and protect companies from any lawsuits. In trying to provide the products or services, these businesses have hired people, trained them, developed sales and marketing infrastructure, products and technologies, gained clients' confidence, etc. Don't these companies know that they need to survive after year 2000? Even a third grader understands this. And they are doing everything they can, to get into software system upgrade and system migration jobs, maintenance/outsourcing jobs, ERP, SCM, etc. and make alliances with clients for future contracts. Acquisitions by IMRS, CBSL, etc. are for those purposes. (The money for acquisition is coming from y2k earnings.) How great a demand for service or products after year 2000? Great! Many big corporations have eliminated or reduced the size of their computer/IT professionals and overhead. No more in-house programming jobs that have typically took more money and time to complete. This is the business in which CBSL, SYNT, etc. have been thriving before the y2k problem. Unless it is critical to their core business, many companies use contractors for computer programming and maintenance services. With shortage of professionals and diversity of systems to be integrated, there will be plenty of demand. That does not mean that everything will be "rosy" for every y2k company. Unless they start investing in R&D (SEEC, IMRS) and produce innovative products for future markets, their earnings growth may reach a plateau after some time. Ram |
