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To: Arrow Hd. who wrote (7431)	1/30/2002 1:18:05 PM
From: Arrow Hd.	Read Replies (1) \| Respond to of 8218

forbes.com Interesting article but it also is a good example of misconceptions and misinformation. Forbes talks about a decline in mainframes that recently reversed itself and uses MIPs expansion as its premise. Totally ass-backwards. MIPs expansion has increased in every quarter since 1989 which was the last year that the mainframe sector had any revenue expansion until this past quarter. Revenues continued to decline in the 90s from Hitachi and Amdahl mainframe competition and competition from alternate platforms but mainframe MIPs expansion continued unabated. It is just that the K per MIP went down faster than MIPs expansion so revenues declined. In Akers' last year even he fell victim to this erroneous comparison declaring "demand" was down for mainframes when demand, as measured in the number of mainframe MIPs in the marketplace, actually increased. What was down was revenue due to discounting but the damage was done as all the "pundits" declared mainframes were a dinosaur. It still continues today, the age of misinformation is still unchallenged.