More from Merrill--It's out of ordeer, but useful--more coming.
TechStrat Insight – 5 March 2001 4 Because they are less likely to be fired, IT managers prefer to buy from leaders in tough times. The Europeans were more conservative than the Americans. We’re going to protect our hardware and software spending as much as possible and cut people costs. Average: 4.5 The point here may be that hardware and software are vulnerable, too. Our last survey found software spending would be stronger than hardware. We would consider replacing our PCs with thin clients. Average: 4.4 Not a high priority today, but there is interest in the future given PCs’ high cost of ownership. We would like to replace our SONET/ATM network with Gigabit Ethernet. Average: 4.3 We’re “Ethernet everywhere” fans, but it is pretty leading edge. We view Ethernet as disruptive technology—you can find Ethernet administrators more easily, and a GigE network offers a 4-1 cost advantage over networks with the bells and whistles. Our IT spending is at risk because of the economy. Average: 4.2 A lower rating here suggests IT spending may be pared but isn’t going away. We still expect growth in budgets. The network remains a bottleneck for us. Average: 4.1 We were surprised at the lower ratio here, since we’ve heard CIOs suggest that the network requires constant upgrading. Maybe we’re in a lull until streaming media takes off. Network bottlenecks were more evident in Europe. We are more likely to outsource operations this year. Average: 3.8 Again, harder to make big decisions this year, even if there are cost savings benefits. We would be willing to outsource our storage to a vendor like Storage Networks or IBM Global Services. Average: 2.7 The trust factor is at work here. Most large companies aren’t ready to outsource their data. [AOL, IBM, CSCO, SUNW, NTAP] MLPF&S was a manager of the most recent public offering of securities of this company within the last three years. 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