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

To: D.J.Smyth who wrote (153244)	2/8/2000 12:50:00 PM
From: arthur pritchard	Respond to of 176387

Darrell: Even if Dell enters the same "upscale" market as SUNW, across the board with SUNW, they will be held back by high image losses, of the sort of the Ford account. Sunw has fought a very hard battle to win certain accounts, and has not been held back by lack of focus, in the area of account control and image. I'm not saying they win all their battles, just that their corporate account sales efforts, are extremely focused, and team based. This kind of work, does not mix well, with selling to the "masses". When I was in the Boston IBM office, I learned alot about team work, and this was WAY back in 1961. There are very few if any new ideas, about marketing, at the level of the large account. And of course, this starts with vision, or lack of vision, at the top. In my opinion, MSD is more interested in venture capital of various kinds, than competing for the consistency in large accounts, which would have prevented the Ford mess. And there is no simpler way to put the Ford situation. The win of HP goes way beyond, the order for hundreds of thousands of machines. HP has just "explained" to the world, the vulnerability of Dell, at the core (from my point of view as a corporate marketing person). The intelligent design of the marketing team, can make all the difference, and huge losses, are never really made up. This is why IBM is so paranoid about their gigantic accounts. I can only say, that their paranoia in that area, is probably leading to their comeback, in more and more large account situations. Same for HP, which under new leadership, will come back, in large accounts. THIS IS MORE IMPORTANT THAN BRAZIL, CHINA AND INDIA PUT TOGETHER.

To: D.J.Smyth who wrote (153244)	2/8/2000 1:27:00 PM
From: Dorine Essey	Respond to of 176387

Darrell,You are right, Warbberg cannot justify the SUNW against DELL. Dorine re:, how does Warberg justify the SUNW model valuation against the Dell model valuation? SUNW is growing less than Dell in the enterprise arena and SUNW has 1/2 the revenue of Dell. Yet, SUNW is a buy and Dell is a hold. I know how they justify this; SUNW serves a different upscale market with different products. But what is to be said of Dell entering the same? Is it a given that Dell will forever serve the same audience with the same product utilizing the same strategies? The entire Dell phenomena was built on the addage of being able to quickly adapet internally once change was decided upon. Dell's earnings, even with their projected decrease, are still greater per employee, per firm, at Dell by over 50%. Dell's revenue per employee is $968,730. SUNW's revenue per employee is $441,972 - SUNW with 29,000 employees, Dell with 23,600 and producing 100% more revenue. Obviously SUNW sells higher margin items - but the comparisons relative to future growth and benefit are too obvious to ignore.

To: D.J.Smyth who wrote (153244)	2/8/2000 1:46:00 PM
From: Lee	Read Replies (1) \| Respond to of 176387

Hi Darrell,.Re:. Is it a given that Dell will forever serve the same audience with the same product utilizing the same strategies? Dell stated several months ago that they were going to focus more on their core business. Does this translate to PCs to the average investor and market player? Are PCs becoming increasingly lower margin, commodity type products? Obviously SUNW sells higher margin items - but the comparisons relative to future growth and benefit are too obvious to ignore. Key phrase in the above statement is Higher Margin items. A further important point relative to future growth is the path of that growth. Is the growth path in an evolving, rapidly changing, technically challenging environment or is it in an increasingly commoditized, lower margin product arena? just some thoughts, Lee