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

To: James Choi who wrote (22619)	11/23/1997 8:37:00 PM
From: Venkie	Read Replies (1) \| Respond to of 176387

I dont think you will get to join the longs if your waiting for too big a dip. I hope you still buy some if it rallies in the next week. A company like Dell will almost always have a little higher P/E than most companies. You seem to have a lot to offer to this thread and I would love to see you come aboard but not at the price you want to pay<gg>. good luck and you keep your fingers crossed

To: James Choi who wrote (22619)	11/23/1997 9:32:00 PM
From: Meathead	Respond to of 176387

Re: "Disk Drives and memory chips have become commodity items" James, that's an excellent point. Your'e right. By and large, the stable mass produced technologies are commodities. But there's always a cutting edge. For example, I believe there's much confusion among analyists when they lump all memory into the DRAM category and refer to it as a commodity. Here is an example of commodity DRAM vs. non-commodity. What is state of the art DRAM memory density today? 16Mbit. Who is producing it? Micron, Samsung, Hitachi, TI, Goldstar, Hyundai, NEC..... Everybody. It's now a commodity. No pricing advantages, lot's of competition. How about 64Mbit? Samsung is now producing in volume, Micron has no such device. Is 256Mbit a commodity? No. It's a roadmap item. The first company who will be able to design, produce in volume with acceptable yields will have pricing control until other vendors come on line. The same will happen with GigaBit densities in the future. At any moment, take a snapshot of any mature technology with high volumes and many manufacturers and you have a commodity. A 166Mhz Pentium PC with standard offerings fits this description and that's why they are now so cheap. This is precisely why Dell chooses to be the technology leader in PC's. Design and offer systems on the leading edge of the technology curve where profits are the greatest... mature technologies are not a corporate priority and are best left behind for others to fight over. Someday, the opportunity to do this will be gone... but it's a long way off. Some folks seem to think that because you can buy a PC for <$1000, the market for high end, high profit machines will dwindle or come under severe pricing pressure. I find this amusing and irritating at the same time. They couldn't be MORE wrong. MEATHEAD