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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?


To: freeus who wrote (134068)6/23/1999 11:59:00 AM
From: PAL  Read Replies (1) | Respond to of 176387
 
Freeus:

Did you read the speculation of Dell might possibly buy CPQ?
Dell has asked the authorized shares to rise to 7b. What for? Definitely not to split the stock at current price, but rather for acquisition.
CPQ is shedding its internhet business, AltaVista etc and sell it to CMGI for CMGI stock. After the deal, CPQ will become a significant shareholder of CMGI.

Dell buys CPQ core business: the main area is service. That is why Dell has not signed up with IBM for service.
Dell is not using cash, but stock. Dell wants to be a major player on the internet. By way of CPQ, Dell has a stake in CMGI and its 40+ Beany Babies. Dell banner everywhere.

What do you get?
a. Dell PC quality, management
b. Service, via CPQ/DEC
c. Internet via CMGI
d. Headache from FTC/Dept of Justice Anti-trust.

Let me put an epilog, you have not grown up until you are charged with anti-trust from DOJ. Just getting dragged into litigation has been good sans one: ADM. Others: ATT, MSFT, IBM, INTC doing well.

Paul