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

To: TraderGreg who wrote (161157)	9/27/2000 5:31:07 PM
From: GVTucker	Read Replies (1) \| Respond to of 176387

TG, people read it, they just don't believe it. The sharpest price cuts are in the highest end Xeon servers, areas where there has been the least price relief. There are other reasons. It may be, as P. Engel hypothesized over at the INTC thread, that Dell is responding the SUNW's new UltraSPARC III announced today. It's either that or Dell is now losing market share in servers.

To: TraderGreg who wrote (161157)	9/27/2000 7:49:08 PM
From: kemble s. matter	Read Replies (1) \| Respond to of 176387

Hi!! RE: I know the Street sells first and asks questions later but do they not even finish reading the first sentence before they sell? "Dell Computer Corp. (NasdaqNM:DELL - news), the world's No. 2 personal computer maker, said on Wednesday it was cutting U.S. prices on a wide range of computers and servers, citing lower component costs." I'm pretty sure there's a comma after the word "servers". I just received a reply from Robert Williams of DELL Investor Relations...I had sent MSD this: RE: "While we are uncomfortable with the last 2 years of Dell's stock performance, we are at least now at a level which would be considered high for a company like Compaq, and we are growing at a rate 2-3 times of a Compaq, and are in the process of talking market share away form Compaq worldwide, so a price of 32 isn't so bad. And DELL is doing so well, we are able to squeeze margins and buy accounts so easily now with a 47% reduction in server price......." In Robert's email tonight he reminded me of our conversation from a week ago (I had called prior to the INTC warning)... Tonight he was confirming that the "environment" created by the lowering component costs IS THE ENVIRONMENT THEY HAVE BEEN LOOKING FOR!...The "cuts" are small (10-15%) at first and over a six week period will become 47%....Interpreting for you the conversation of a week ago with his email tonight....I can assure you of one thing....Plain and simple DELL is gaining market share...Our conversation a week ago and the announcement today are IMO very consistent...The only difference being he was alluding to the possibility of component reductions helping DELL...Today the announcement by Michael CONFIRMS this conversation...Also in his email this evening he tells me to "read the announcement closely"...I would imagine he is referring to: " And DELL is doing so well, we are able to squeeze margins and buy accounts so easily now with a 47% reduction in server price......." Why would he mention this? Well, my opening remark to him in our phone conversation last week I asked him: "Hey Robert, tell me some good news"... Sending me this release from Michael back and adding some additional comments is precisely what I was asking for over a week earlier...IMO confirmation!... Something else that crossed my mind is a comment or release just recently (right after INTC warning) where CPQ mentioned their worldwide Enterprise business wasn't dragging....I'm not quite sure of the precise words but assuming this is correct and reading between the lines on Michael's release today ...Well, it's obvious to me...Perhaps that Enterprise Market that DELL alluded to as a possible upside surprise awhile back is just now becoming a reality...Let's not forget that DELL has been retooling their entire manufacturing facilities in preparation of being even more efficient and improving space which is already at a premium...Also,Ballmer was on today stating about W2000 and who would "have to have it by ...." He was smiling folks...Is MSFT ready to have the last laugh a their CC? Is DELL's next announcement a confirmation of 30% for this quarter and beyond for the fourth? BUY DELL....I believe we're starting a strong October folks..The pricing environment is the key...RWilliams was very clear in discussing this with me...Today's announcement from Michael is a confirmation of a "problem" solved...With the components down the advantage is clearly in DELL's corner now.. BTW... Where's Kumar now? He made the call on INTC and IMO it bodes well for the DELL inventories and pricing environments...IF correct on one...Why is he silent on the other? Can we have one without the other? Historically DELL has always managed to steal market share this way...Why is this environment any different? Kumar will only be 50% correct if DELL makes that 30%...Unless he changes his opinion...The components dropping now gives the advantage to DELL... Best, kemble