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

To: Eddie Kim who wrote (45341)	5/29/1998 12:21:00 PM
From: Meathead	Read Replies (1) \| Respond to of 176387

No impact to Dell. Dell designs their own servers top to bottom. Dell only buys motherboards from Intel for Dimension (SOHO) systems. They don't buy assembled or partially assembled systems. MEATHEAD

To: Eddie Kim who wrote (45341)	5/29/1998 5:28:00 PM
From: Logos	Respond to of 176387

Re: Intel shutting down PC production Excellent discovery. I tried to get the original article, but so far unsuccessfully. Are there any figures for how many PC's Intel produced for Dell? Somebody already mentioned that the arrangement of Intel building PC's for Dell allowed Dell to say their inventory is very low, since Intel was the one holding the bag. Is this what's going on, how Dell could consistently beat the snot out of Compaq and the other box makers in inventory control? More importantly, now that Intel won't be doing this any more, will we see Dell's inventory shoot up (and its price shoot down)? Or is all this a big fat red herring (can't tell without solid numbers)? Does anybody know more about this issue, it may or may not be important, I just don't know. Haz

To: Eddie Kim who wrote (45341)	5/30/1998 1:35:00 PM
From: jbn3	Read Replies (4) \| Respond to of 176387

Eddie, regarding your link to Mr. Karsten's post about effect on DELL of INTC's closing Washington plant Excerpt from the original news item: news.com In August, Intel will begin phasing out its PC and server computer manufacturing operations in Dupont, where the company completes the assembly of chips, hard drives, and other components. Intel does not sell these products under its own name, but markets them to third-party vendors who brand independently. Customers include Dell and Sony, as reported by Tacoma, Washington's News Tribune. Mr. Karsten provided the first paragraph of the cited material, then said... 1. I had completely forgotten that Intel manufactures PCs to be relabeled and sold under an "OEM" name. Article said that INTC manufactures "chips, hard drives, and other components". Article did NOT state that INTC manufactures PCs to be relabeled and resold; Mr. Karsten said that. 2. This is the first that I've heard who customers are though. Dell? The article did NOT say that DELL was a customer for an Intel-manufactured PC; Mr. Karsten implies that. 3. So that's one reason their "manufacturing" has gotten so efficient. Now Mr. Karsten assumes that all of his above hypotheses are true, and that together they contribute to DELL's manufacturing success. 4. So, I wonder how much PC inventory Intel carries for Dell? Further hypothesizing that Intel DOES carry PC inventory for DELL 5. Mighty convenient arrangement when it comes time for financial reports. Assumes his last hypothesis is correct and implies financial legerdemain. 6. Nice for Dell to be able to claim they don't have any unsold inventory, ever. Draws a corrollary 7. I'm not saying it's dishonest, just mighty comfy arrangement. And yes, a little sly. ... and a conclusion. FWIW, Eddie, as far as I'm concerned, you needn't post any more of Mr. Karsten's logic. The URL to the article itself was interesting. regards, 3.