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Technology Stocks : HWP -- Hewlett Packard -- Ignore unavailable to you. Want to Upgrade?

To: Dave B who wrote (3778)	12/11/2001 5:53:08 PM
From: Oeconomicus	Read Replies (2) \| Respond to of 4722

why isn't Dell or Gateway bidding for them as well? Dell, of course, would not want to be saddled with the costs and figures they'll get the share anyway just by doing what they already do so well. If it ain't broke, don't fix it. Gateway, OTOH, is broke -er- broken - uh, both? Seriously, a GTW/CPQ deal might actually make a little sense. Different sales models, for one thing. But GTW could hardly be the buyer at less than 1/5 of CPQ's market cap. Think GTW would sell out to CPQ? Bob

To: Dave B who wrote (3778)	12/11/2001 10:41:28 PM
From: PerryA	Read Replies (2) \| Respond to of 4722

Mergers disrupt business operations for quite a long time. True, but unlike WS analysts, I suspect that the period of integration will be a general economic slump. I happen to think they can complete the integration before a significant bounce in the economy -- mainly because I think the economy will flounder for a while, and partly because I think Carly is bold enough to be ruthless in cutting out the overlap. Why is consolidation needed? Too many companies competing for market share (as opposed to profits). Regards, PerryA

To: Dave B who wrote (3778)	12/11/2001 10:48:00 PM
From: PerryA	Respond to of 4722

Why not just let CPQ slide into oblivion and pick up the business after that happens? My original thought on the matter was that HWP should dump their PC business, hopefully timing it in such a way that they drive out the weakest competitors. Then, after the damage was done, to turn around and buy CPQ for cheap. That tactic, I believe, would have been potentially more rewarding but also more risky. What do you think? Regards, PerryA

To: Dave B who wrote (3778)	12/12/2001 1:09:20 AM
From: The Duke of URL©	Read Replies (2) \| Respond to of 4722

"Mergers disrupt business operations for quite a long time. Bay Networks never recovered from the merger of Synoptics and Wellfleet (and having consulted " On the other hand General Motors has been pretty successful, what, a hundred years later? "happen. Put another way, if CPQ is such a good deal, why isn't Dell or Gateway bidding for them as well? Maybe they know something Carly doesn't." Gateway is way over its head in debt, losing money and controlled by it lender banks. When that music stops, GTW won't be able to buy an Orange Julius stand. Dell is a PC machine. They are fast followers, not leaders. It will be interesting to see if they can survive the transition to industry standard servers. The market for them to copy does not yet exist. " I'd rather see HP take the billions they were planning on using to buy CPQ, and spend it instead " You of course know it is a stock deal, not a cash purchase, the only cash will be the breakup fee, if any.