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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Herschel Rubin who wrote (170775)	8/29/2002 3:58:10 AM
From: Sig	Read Replies (1) \| Respond to of 176387

I'll join others in saying its refreshing to have your unique views on the Thread. You say this could happen.... 1) CAUSE DELL TO JOIN THE PRICE WAR TO MAINTAIN CLAIMS OF MARKET SHARE GAINS, WHICH OF COURSE WILL CAUSE DELL'S MARGINS TO ERODE IN Q3 & Q4. But the chances are it wont, since Dell says they are "on track" to implement cost savings of $1 bil this year, which would be more likely to increase future margins. In reply to your concern that Dell will not be able to sustain their market share gain rate, Dell covered that at the shareholders meeting by pointing out that Dell has less than an 8% share of the IT market, while moving rapidly into the server, storage, and service areas. Can Dell do this- continue to gain.share? . I see no real problem, with Dell agreeing to provide systems to the White-box makers who have a large market share. There could be a stopper along the way, but INTC has roughly 90% of the computer chip market and MSFT has a pretty good lock on the OS market My overall view is that Dell, Msft, Intc, and Ibm work very closely in designing and presenting compatible systems. I include Ibm because Dell has over $20 in contracts to use IBM products such as flat panels or disk drives. Sharing the design work and ideas in this manner creates efficiencies and puts other computer manufacturers, ( sunw, Gtw, Mu, Hwp, Aapl) at a disadvantage. Regards Sig