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To: Scott Meyer who wrote (165965)6/7/2002 1:40:27 PM
From: Road Walker  Respond to of 186894
 
Scott,

re: Anyone hoping for the traditional depreciation cycle
is going to be pretty disappointed.


You seem to have missed the point. We were talking about the tax depreciation, not the functional depreciation.

John



To: Scott Meyer who wrote (165965)6/7/2002 1:42:38 PM
From: The Duke of URLĀ©  Read Replies (3) | Respond to of 186894
 
Scott, and I mean this sincerely,

How does windows professional run on say a 500Mhz pentium II or III?

(It is to be remembered that most businesses do not provide top of the line stuff to the rank and file, but go for the cost point, but your remembrance of 1995, IMO is very accurate. )



To: Scott Meyer who wrote (165965)6/7/2002 2:37:57 PM
From: tcmay  Read Replies (2) | Respond to of 186894
 
Does anybody really buy this "depreciation cycle" nonsense?

When I was at Intel, we didn't get to buy new oscilloscopes and voltmeters after a 3- or 4-year "depreciation cycle." We got to buy new things when we could justify to management a need for them. Depreciation was an accounting and tax thing, not something that gave us a free pass to replace our VAX after 3-4 years.

Money is money, and if a company has 75 perfectly usable 400 MHz PCs bought in 1999, the big year for Y2K upgrades, and they aren't doing super CPU-intensive tasks like DV movie editing and Photoshop, why should they buy 75 new machines? Because accountants tell them that the company reported the machines as fully depreciated?

Budgets are budgets.

This is why companies aren't dumping all of their old machines in favor of new ones.

--Tim May