PSFT - Fiscal 1998 - Discussion for the next year Message Board

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Technology Stocks : PSFT - Fiscal 1998 - Discussion for the next year

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Oct 29 5:00 PM EST

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To: Marq Spencer who wrote (3566)	11/17/1998 1:27:00 PM
From: Lizzie Tudor	Read Replies (1) of 4509

I'm kind of disgusted because what PSFT is implying is that R&D is not really part of their business, and therefore, expense. That is absurd for a hi-tech company and quite the opposite of the way a small, nimble company represents itself. Hmmm... I disagree a little. Psft acquires their technology generally , we all know that, and its a strength. Csco and psft mgmt know that large companies are not condusive to retaining top technical talent or new ideas etc. The acquisition strategy is the right one, vs Oracles NIH strategy which does not work for this type of technology in this decade. Ill bet psft looked at acquiring a company and couldnt find one. They now are trying to apply their model of using small companies to generate innovation by spinning off this entity or whatever it is. I dont know much about the financial issues here (or any financial issues for that matter) but just speaking from an R&D managers perspective it looks like this is just another slant on the way they typically operate with new technological spaces. BTW this also implies that they wont buy Ariba - good. Michelle

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