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Technology Stocks : Dell Technologies Inc.

DELL 141.72

+2.1%

2:31 PM EST

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To: JRI who wrote (107019)	3/4/1999 12:02:00 PM
From: Gabriel008	Read Replies (1) of 176387

John, the IBM deal may create an entry for DELL into the sub $1000 PC business since they don't have the capacity to handle this new segment in house. And, they don't want to incur the capital costs of building new plants just to get into this low margin business. Or, this is DELL's way of [finally] closing the door to the sub $1000 PC business since they've got better opportunities elsewhere! Imagine all those IBM technicians servicing DELL's enterprise client needs throughout the world. DELL will now have the infrastructure to enter any new and profitable enterprise product category. The possibilities are no longer limited!

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