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Technology Stocks : Intel Corporation (INTC)

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Feb 6 9:30 AM EST

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To: John Koligman who wrote (80214)	4/28/1999 3:11:00 PM
From: Mary Cluney	Read Replies (4) of 186894

John, >>>do you think a Fortune 500 CIO is going to 'bet the company' by unplugging his S/390 complex and putting his/her data on Intel based servers<<< Some of these Fortune 500 companies have invested, over the years, more than 10,000 man years or over $1B dollars in applications software development on mainframe platforms. So, needless to say, it would be unwise, if not impossible to unplug these s/390 complexes. My guess, though, is that very few of these companies are very happy with their IT expenditures. Some of these companies have to spend several hundred million dollars a year just to keep these computers running and functionally standing still. Unfortunately for these Fortune 500 companies, the CIOs that get to keep their jobs are those that lay low and make few waves. What the Fortune 500 companies should do is to freeze any new developments on the mainframe. Keep those dinosaurs running and trim excess fat. Any new development is done on a more modern and more cost effective platform. IA64 is coming and it will dominate. No use fighting it - might as well get on board - sooner is better than later. Mary

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