JHG, Chuzz & all:
RE: "jhg, of course there's money left, but what you are witnessing is the inevitable winnowing of the field based on efficiency of operations. CPQ, HWP and IBM have all experienced significant problems in generating profits in the PC business because of their uncompetitive cost structures. IBMs gradual departure will create a vacuum that will be filled by guess who?
I expect Dell to increase market share over the coming years, and this time the losers will be companies like CPQ, HWP and IBM rather than the white box makers as in the past."
HOW RIGHT YOU ARE, CHUZZ. IBM was the LAST vendor likely to make it in the PC biz...reasons being big blue's cost structure, sales force compensation, culture, bureaucracy...aside from the thinkpad, they have always delivered an inferior, yet more expensive product compared with most of the competition, and particularly compared with dell.
IMO, once DELL takes over IBM's PC biz, the thinkpad will likely be the only pc pdt they don't scrap completely.
I do believe, however, that IT IS TIME FOR MR. DELL & CO. TO GET SOME POSITIVE STATEMENTS TO THE PUBLIC ABOUT THE COMPANY'S PROSPECTS GOING FORWARD...A 35% DECLINE IN SHARE PRICE DESERVES COMMENT, particularly when the decline has been initiated and then exacerbated by analysts who don't even shave yet!
MICHAEL DELL, I TRUST THAT YOU ARE LISTENING!!!! :)
Cheers, GRANOLA
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