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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: dav who wrote (63925)	6/22/1999 7:29:00 PM
From: Elwood P. Dowd	Read Replies (2) \| Respond to of 97611

I didn't think they'd sell AV and didn't see it as a prudent move, but perhaps it's an effort to define itself and create a lean, mean machine that will go aggresively after the likes of IBM, DELL, and SUNW. WS has been asking what is CPQ doing, where is CPQ going, why don't they seem to be focused. This could be part of that effort and part of the answer to that question. Perhaps this is exactly what CPQ needed to do to convince Wall Street that they are on a take no prisoners mission to win back market share. I mean what are they doing screwing around with an internet portal when they can't even turn a profit on their core business? El

To: dav who wrote (63925)	6/22/1999 7:32:00 PM
From: Ada Marie	Read Replies (1) \| Respond to of 97611

IMHO...It depends where Compaq could receive the best return on their investment. Mangement may have felt that: - the money received from the sale of AltaVista could be better used towards other investments - management may have felt that they were risking needed resources on the development of AltaVista therefore risking Compaq's growth. We will know better when Compaq gives their spin on the sale of AltaVista. Compaq purchased Shopping.com for $ 220 million and Zip2 for $300 million...I assume these were "integrated" in the AltaVista package.

To: dav who wrote (63925)	6/22/1999 7:44:00 PM
From: Nilesh Parikh	Respond to of 97611

If the rumors are true.... CMGI is smart in taking AV. One of the best technologies and the team that goes with it. CMGI stock will benefit tomorrow w/ this news. I don't think this is a bad sign for either of the company in current situations. Long-term. AV could have brought more revenue. CPQ cannot take any more such chances. The price tag for AV was always around 2B. Even if it had gone public, it would not have brought more than 2-3B. The potentials were there, but CPQ needs to focus on its core business of Enterprise Solutions, Services, PC/Consumer Market segments. I'm still not convinced that the PC & Consumer Markets are different. -Nilesh.