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Technology Stocks : BMC Software -- Ignore unavailable to you. Want to Upgrade?

To: michael97123 who wrote (1427)	9/19/2000 11:10:28 PM
From: john dodson	Read Replies (2) \| Respond to of 1492

Interesting thought Mike. I continue to believe that BMC would make an amazing addition to IBM. A combined Tivoli and BMC could generate crazy amounts of revenue. With IBM's sales force and universe of products and services to integrate and weave BMC's stuff into, it could be unbelievable. Not to mention new revenue streams that IBM could create for BMC all by itself. If IBM could do for BMC even half of what it has done for Tivoli... IBM has harnessed a lot of value from Tivoli. Definitely a synergistic relationship in that they have both went much further than they would've w/o each other. Initially it was just the core Tivoli applications (TME). But then IBM integrated them with products that probably never would've been integrated otherwise. BMC would have some overlap with Tivoli, yes, but the potential value there more than compensates for that. However, one has to wonder why BMC would want to sell out just now, especially given the extreme weakness of the stock over the last several months. Why sell at the bottom? Even if they were open to that course of action, why not rebuild core value for a while to command better terms? However, you raise a good point. If IBM has made advances, and if they have been rebuffed, further encroachment by IBM on BMC's core business does send a very stiff message to BMC. This is especially true, since IBM produces the mainframes that most of BMC's business is based on! Talk about having them by the kahonas. Makes for good investing, -John