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Technology Stocks : EMC How high can it go? -- Ignore unavailable to you. Want to Upgrade?

To: GVTucker who wrote (9221)	2/14/2000 8:49:00 AM
From: JDN	Read Replies (1) \| Respond to of 17183

Dear GV: Looking at the chart you posted, it would appear a migration to the larger systems is what is taking place. Considering the merger late last year which will result in more of the middle size production this may all be normal. I would suppose Mike is talking about the future backlog of orders not the past. I cannot imagin that they had any reduction in price during the past year. JDN

To: GVTucker who wrote (9221)	2/14/2000 9:24:00 AM
From: John Carragher	Read Replies (1) \| Respond to of 17183

would y2k have any affect on numbers?

To: GVTucker who wrote (9221)	2/14/2000 5:33:00 PM
From: Gus	Read Replies (1) \| Respond to of 17183

But what doesn't make sense to me is that although you're seeing an increase in demand, you aren't seeing an increasing rate of growth in the customer base. GV companies can add enclosures or units or they can replace the disk drives in an existing enclosure or unit with higher-capacity drives using the same form factor to increase capacity. EMC generates sales both ways. EMC derives its price premiums from its architecture which supports the IBM-compatible mainframe market and that is obviously not a fast-growing market. Data General (Clariion) lets them go after the more price-conscious middle market -- Unix, NT, Novell, etc.

To: GVTucker who wrote (9221)	2/18/2000 3:57:00 PM
From: pirate_200	Read Replies (2) \| Respond to of 17183

> In fact, you're seeing a absolute decline in unit > sales versus last year's 4Q. I posted this little > chart last quarter, and duplicate it for the 4Q > (data courtesy of Morgan Stanley): What bothered me, and correct me if I am wrong, but I thought I heard on the last conference call that they were not going to break out unit sales numbers any more during future earnings conference calls? They also said that the sales people have quota for both system and software sales. I suspect since the better margins are on software (and maybe better incentives for sales?), they are pushing software more in the sales cycle? Could it be that the Y2K cycle offered an opportunity to sell more units for testing where a company needed to duplicate a database etc. for testing and now we are seeing the downslope of that curve? The opportunity seems to be now in E-business and maybe we are seeing a few transitional quarters before that ramp up really occurs? I'm looking for an entrypoint to EMC but also am concerned about the DG acquisition and the prediction from the conference call of a slower growth quarter in the spring.