Hi Victor,
Don't have access to the Morgan Stanley survey but this was in Friday's IBD -
'Information technology still growing, but Morgan Stanley sees slowdown
Three quarters of IT executives surveyed don't look to trim budgets due to economic conditions or market turmoil. Yet Morgan Stanley Dean Witter sees growth in IT spending slowing to 4% to 6%, down from 7% to 9% in recent years. Mainframes, especially models made by IBM, Compaq and Hewlett-Packard, are alive and well. More than half of respondents said they use them to store most of their mission critical applications and data.'
I don't know why Morgan came to the conclusion they did, but I wouldn't have come to that conclusion. I think this is part of the debate about whether spending will slow due to the Y2K problem, but the CEOs of the best tech companies have pretty much publicly said that they think that many companies will address this problem by buying new equipment. I can remember EP, Dell, Chambers, Ballmer, Charles Wang and Richard McGinn stating such. The only one I heard say he thought it would slow is Lew Platt (wonder why? <ggg>), but he retracted that statement the next day.
K |
