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Technology Stocks : PALM - The rebirth of Palm Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Win-Lose-Draw who wrote (4543)	3/29/2001 4:34:10 PM
From: David E. Taylor	Read Replies (2) \| Respond to of 6784

WLD: Does it really matter what the product mix is? It seems we have all - and I include myself in this - been assuming that higher ASP translates into higher margins. That is an assumption we may have to reconsider. Well, that's what Carl & Judy keep telling us, i.e. that as ASP's go up from product mix shifting to higher end devices, GM's will improve. Course it doesn't help if they have to discount/rebate those higher ASP products to sell them, since even a $50 discount is probably at least 30-40% of Palm's profit on a high end unit. David T. P.S. Have you noticed how I'm arguing with myself as well as you? Don't take it personally - just a sign of (1) extreme "pissed-offness" at the m500/505 product launch timing screw up; and (2) questioning my assumptions about future business prospects more.