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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Gary Ng who wrote (85016)	7/7/1999 1:08:00 AM
From: Mary Cluney	Read Replies (4) \| Respond to of 186894

Gary, >>> CPU is only a very minor issue in S/390 based systems.<<< You are absolutely corrected about that - but not for the reasons you think. Lou Gerstner has done a remarkable job raising IBM valuation through shrewd buyback of shares with borrowed money to make earnings look good. In the same way he has made a legacy mainframe and legacy operating system (legacy - meaning obsolete, bloated, and high cost to maintain), and through remarkable marketing, make CIO's think they have no other choice for large server applications. Fred Fahmy, a long time poster on this thread, who has been missing of late, has described how his company, a Fortune 500 type, cut their reliance on legacy mainframes and run their company on IA servers. The same, I am certailn, can be said for Dell, MSFT, and INTC. If these companies can manage their operations without significant Mainframe assistance - I would then say there are very few companies, if any, that really has to go legacy mainframe. It's only the magic of Lou Gerstner that has kept this fiction going. Once he leaves, I believe this house of cards will collapse. Regards, Mary