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

To: kemble s. matter who wrote (154350)	2/25/2000 7:33:00 PM
From: rudedog	Read Replies (4) \| Respond to of 176387

Kemble - why would anyone use language in this manner? I would suggest that DELL would use that language because some of the top management has developed an isolation from their business and the market that has been reflected in a year of poor decisions and mis-steps, only saved because the machine basically ran itself. DELL management has moved away from comments which might give investors and analysts some clue about how DELL will surmount its current challenges and achieve its growth targets, and shifted instead to empty, arrogant boasts with no substance. Like the comment about "50% market share in 5 years" - if DELL stays in the PC business and is not successful in breaking out of the box, they will NEED that growth just to sustain 20% revenue growth in the face of declining ASPs - and at 20% revenue growth we will be looking at a stock price which creeps slowly upward at maybe 10% to 15% per year... There certainly has been no checkmate by DELL on anyone this year. I would say that GTW has come close to executing the breakout strategy that DELL should have executed, and GTW's stock price reflects that, despite much weaker underlying financials. Why didn't DELL think about the deal with SUNW?? They would have been a better partner than GTW and it would have given them immediate credibility in the high end of the enterprise while still conforming to the lightweight DELL investment model. Why didn't they do the deal with AOL? Why didn't they go after the Ford PC contract like HP did? DELL may well have the "keys to the kingdom" but it's likely to be the kingdom of the dead if they don't find a new game. Perhaps I'm a little disappointed by DELL's failure to maintain any recent gains, I guess - I am actually starting to see some signs of life in their strategy. But the arrogant boasts of the last year - the quote you supplied, the "50%" boast, the comments about "AAPL might as well liquidate", and the rest - just throw salt in the wounds as far as I'm concerned after a year of flat to down performance. I didn't like those boasts when I first heard them and I don't like them now. Winners don't need to boast, the record says it all.