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Technology Stocks : Dell Technologies Inc.

DELL 114.64

-1.1%

3:59 PM EST

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To: hdl who wrote (113117)	3/29/1999 10:51:00 AM
From: PAL	Read Replies (1) of 176388

Supporting eMachines' mission to expand the market with new PC customers, approximately 51% of Q1'99 eTower sales through consumer electronics retailers were to first-time PC buyers, compared to industry figures that were slightly above 25% during 1997 and most of 1998. These new 'first-time' buyers reported annual household incomes at 69% between $20,000 and $34,000, and 31% between $35,000 and $49,000. This is substantially below the $50,000+ household income levels reported by PC owners in 1997 and 1998 surveys. The above paragraph validates the theory that most low priced PC buyers are first time buyers. Although the income level is less than that of brand name PC buyers, over the years their income level will increase and they will more likely choose better PC's. The existence of cheap PC actually helps companies like Dell since more and more people are exposed to computers, and when they are ready they are not going to upgrade by buying from the same manufacturer. Paul

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