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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: Bilow who wrote (858)	1/21/2001 11:51:56 AM
From: GraceZ	Read Replies (2) \| Respond to of 24758

As they tell you in law school, never ask a question to which you don't already know the answer. The 12k machines were back when they were first introduced in around 1984. As you can imagine unit sales were light. As they moved down through the different price points the market for them exploded along with the unit sales. In around 1992 I paid around $1400 for a 300 dpi machine with a heavy duty cycle like a business would need. Businesses still pay around $1200 for heavy duty cycle machine that is networkable (but obviously it is much more sophisticated than that 1992 machine) but you can get a personal consumer grade machine for $300. There was 16 years between intro. to commodity level pricing. My point to you was that between the time something sells for 12k and 300 there is a nice sweet spot where the unit sales explode and even if your margins shrink, you still make a ton of money. I know it's hard to imagine where all those routers and switches might go. One thought that comes to mind is China, a country that recently announced it wants to build it's own Internet. BTW If you had told me back in 1984 that I would have owned 12 printers, 15 computers, two fax machines, three copiers, twenty modems, three cell phones, four scanners, a digital camera, syquest, 7 Jaz writers, 12 Zip writers, five CD writers, four digitizer tablets, two 21" monitors, four 17" monitors, ten network cards, a DSL router, two hubs, DSL modem, cable modem and a Palm VII before the year 2000, I would have looked at you as if you were nuts. This technology stuff has a way of multiplying as it gets cheaper.