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To: Paul Engel who wrote (136104)	5/26/2001 8:08:07 PM
From: Rob Young	Read Replies (4) \| Respond to of 186894

How profitable is their Power line? How many additional Itanium based servers would they need to sell to turn the same profit? Is IBM capable of growing their share of the Unix market to make up in the slide in profits? I guess the thinking from many OEMs is they will grow their Unix share. But I think Sun (among others) must have seen the handwriting on the wall and backed away from Itanium for the shrinking margin reason. Two, three or so years from now ... how much hardware do you think HP will sell if their HP/UX IA64 product runs just as well on Dell based servers and the Dell box is 30% cheaper? A complicated scenario all around but I believe that many are making big fat margins on their boxes and wish to protect those margins as long as they can. Solaris is the de facto Unix (judging latest market share studies for growth and total numbers). They have grown that in the face of marginal performance. They would be foolish to give up those high margins on the UE10000 as long as they are selling them. Something else to watch would be AIX on Itanium and AIX on Power, how well each are supported internally, etc.