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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: John Koligman who wrote (23489)	3/26/1998 10:49:00 PM
From: rudedog	Respond to of 97611

John - good point. Although my understanding of the Intel deal is that Intel is required to produce a minimum quantity of Alpha (i.e. DEC can buy up to that quantity guaranteed) for seven years, and also Intel must keep the Alpha process current with Merced (They have to use their best technology to produce Alpha)so Intel does not have a lot of choice. Intel may want to keep a viable but small volume Alpha as a hedge against Uncle Sam. That was easy to do when it was just DEC using the chip, their total volumes are about 1/100 of Intel's. CPQ is a different story, they currently buy about 25% of Intel's output. I doubt if Intel would have cut the same deal with CPQ on Alpha. I think that DEC has 2 other sources for Alpha, Samsung and one of the Japanese companies, maybe Hitachi.

To: John Koligman who wrote (23489)	3/27/1998 4:40:00 PM
From: Paul Reuben	Read Replies (3) \| Respond to of 97611

Looks like you guys may have missed this one: "Compaq Set For Major Networking Announcement" zdnet.com

To: John Koligman who wrote (23489)	3/29/1998 1:51:00 AM
From: George Dvorsky	Read Replies (2) \| Respond to of 97611

RE: Alpha "wepon" It would not surprise Alpha fans to see Alpha become a big runner for CPQ. Alpha has survived years and years of "stealth marketing" by DEC and always has been under a cloud of "DEC may go out of business tomorrow" (I've heard that IBM and HP salespeople routinely use that line to get contracts from DEC when the bidding is close). I CPQ throws it's weight behind Alpha then it could seriously hurt Sun's Sparc in the UNIX (and perhaps NT) workstation market and become the NT server processor of choice for mid to high end servers. gd