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

To: TTOSBT who wrote (153665)	2/11/2000 11:48:00 AM
From: rudedog	Read Replies (2) \| Respond to of 176387

TTOSBT - Seemingly Dell has increased this business 50+% without Windows2000? Yes - their current server business is NT4, Netware, Linux... only a trickle of Win2K sales. Do you feel that many of these Y2K lock-downs are waiting for W2K release before re-ordering? No - all indications are that enterprise customers will adopt Win2K on the desktop first, and continue to use NT4 for most server applications. There will be some uptake of Win2K server but that is mostly NT4 business today, so it's fungible... DELL is a little behind the curve on some of the hot server markets - IBM and CPQ are both fielding very dense servers for ASP and web hosting, DELL's equivalent product is twice as big - so only half as much power in the same space. Likewise, CPQ and IBM (and HPW and SUNW) are investing big time in ASP hosting, more than $1B from EACH of those companies in the last 6 months alone, to assure they have a big place in that market. DELL's ASP play is closely tied to Intel, who in turn is driving a non-MS stack (Linux). That is part of the reason that we see MS doing joint investment with CPQ in the ASP space, but not with DELL. I agree that DELL is playing it safe with flat 1Q guidance - but I think they may also believe that they will have a flat Q - I don't think they are under-promising. There was a lot of talk about that the last 2 Q's - and each time, DELL just cleared the bar.