Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (24361)	6/18/1999 1:21:00 PM
From: taxman	Read Replies (1) \| Respond to of 74651

"cell phones replacing PCs" thanks. if what you say come to pass how do you play it? i have leaps on qcom, airtouch and vodaphone. regards

To: t2 who wrote (24361)	6/18/1999 1:40:00 PM
From: DiViT	Read Replies (2) \| Respond to of 74651

McNealy slams Microsoft, dodges eBay zdnet.com "However, when asked about the recent nearly 24-hour crash of auction site eBay (Nasdaq:EBAY), which uses Sun (Nasdaq:SUNW) software, McNealy had little comment."

To: t2 who wrote (24361)	6/18/1999 1:53:00 PM
From: Maverick	Read Replies (3) \| Respond to of 74651

ML's Survey Results of 50 CIOs on IT. MSFT is on top. Fundamental Highlights: · Most users are not altering their normal second-half spending plans for Y2K. Some are slowing their implementation of technology but not their purchases. Still, 60% said vendors could see softer 4Q results, but the concern pertained mostly to software companies. · Customers increasingly need to buy into their vendor's vision and are looking for strategic partnerships. The suppliers with the clearest visions are Microsoft, IBM, Dell, Cisco, and Sun Micro, based on the survey. Compaq and HP were singled out for murky strategies. · Half believe they will be outsourcing applications to service providers. Lower cost and lack of technical talent are reasons for the ASP market to develop. Sun and HP have been backers of the service provider model. · HP says its beating EMC 40% of the time in storage bids while EMC suggests the figure is less than 10%. Our limited survey indicates the answer may be in-between. 28 We are slowing our implementation of technologies but not spending 10 We will slow spending Are you “locking down” in the fourth quarter? Yes 16% No 84 Do you think vendors' fourth quarter results will be noticeably hurt by a slowdown in spending? Yes 60% No 40 Over the last year, have you become more or less confident regarding your company's Y2K compliance? More 88% Less 6 No change 6 This survey seems more positive in that the vast majority of users will not slow spending. An important distinction, which was mentioned at our CIO panel a month ago, is that users may slow the implementation of technology but not necessarily the purchasing. Some 16% said they would lock down, more than plan to slow spending, which suggests that locking down sometimes refers to project implementation. These optimistic numbers may reflect the increasing readiness among our respondents. Still, 60% said that 4Q earnings reports will suffer. Most of the concern was about the software sector, which has been discounted in the stocks (Oracle's results may even point to improvement). Servers and storage have some vulnerability though not as much as we've seen in competitors' surveys. Vision Is turning around HP or Compaq easier? HP 78% On a scale of 1-10, how important is a vendor's vision in your selection? Average: 6.9 Users increasingly view their vendor relationships as strategic partnerships since the emphasis has shifted from best-of-breed products to solutions. CIOs said they're looking for “true partnerships,” “commitment,” and need a “better understanding of vendors and their plans.” (Is this dating or computing?) Customers are looking for more vendor participation than just selling. They complain of vendors not investing resources into the relationship. One said, “Vendors need to be trustworthy and there isn't a single software company that is.” Which companies have the clearest vision? 1. Microsoft 2. IBM 3. Dell 4. Cisco 5. Sun Micro Which companies have the murkiest vision? 1. Compaq 2. HP Microsoft gets credit for the clearest vision, somewhat to our surprise. Certainly Microsoft gets credit for shifting to the Internet and now recognizing the emergence of information appliances. IBM came in second, a huge swing from survey results five years ago. Gerstner's McKinsey training has not gone to waste. Dell, Cisco, and Sun have pure, clean stories. Compaq and HP were singled out for lacking vision. HP's E-services thrust should improve its standing going forward. Not coincidentally, our last survey found IBM and Sun gaining share while HP and Compaq were stuck in the water. Our analysis has emphasized company strategies and marketing, which seem quite important today.