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 : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Eric Wells who wrote (87692)	12/16/1999 12:12:00 PM
From: Randy Ellingson	Read Replies (1) \| Respond to of 164684

Eric- An area of greater concern that I see for Microsoft is in the Office product. Currently Office contributes about 50% of Microsoft's revenues and profits - 50%! Should the momentum on Office sales slow, it might create the impression that Microsoft is slowing. While upgrade rates and sales have increased with every new release of Office over the past six years, one could argue that the new releases are delivering fewer new features. After all, is there much a of a difference between Excel 97 and Excel 2000? In my view, no. So why pay to upgrade? Or better yet, why should a corporate customer pay several million dollars to upgrade thousands of users. This has been more and more true over the past several years, and yet look at Microsoft's growth. Apparently the market feels there is more cost to not upgrading to the current "standard" level of features, performance, etc. I don't consider a lack of sufficient upgrade "takers" a risk to Microsoft, simply because that concern has proven unfounded for so many years. Computers were deemed by many to be "fast enough" many times in the past five years. Windows 2000 may not see a huge upgrade cycle in the first six months, and that may very well be perceived as a slow down, but that doesn't change Microsoft's market opportunities over the coming five or ten years. IMO, software represents an area of technology where design and quality have a long way to go, and the achievements will be very much appreciated by the masses. I include office automation among the areas which need considerable improvement. I expect RATL to become my largest holding within the next five years, if they continue to strengthen their leadership in the software development tools market. Obviously I hope they do. Randy