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

To: NickSE who wrote (27637)	6/12/1998 6:13:00 PM
From: NickSE	Respond to of 97611

Compaq Sees Services Revenues Doubling NEW YORK, June 12 (Reuters) - Compaq Computer Corp. (Nyse:CPQ) on Friday reiterated its goal of becoming a $50 billion company by 2000, fueled in part by growth in its services business, following its scquisition of Digital Equipment Corp. "I am confident that based on the strength of the combined companies ... we will also acheive" the previously stated revenue goals, Eckhard Pfeiffer, Compaq president and chief executive, told a press conference here. The newly combined company had revenues of about $37 billion in 1997. John Rando, general manager of the company's services group, said Compaq, the world's biggest PC maker, expects to grow its computer services business to $15 billion in revenues by 2002. "Our goal is to be a $15 billion Tier One service provider by 2002," Rando said. A spokesman added afterward that the figure reflected a doubling of the combined companies' current services revenues. Tier one refers to a select group of computer consulting and services providers capable of offering a complete set of computer systems integration services to customers worldwide. Compaq's services group includes 25,000 of the combined companies roughly 84,000 current employees, making them one of the world's biggest systems integrators. Rando cited industry figures that predict that five out of every ten dollars spent on information technology will go toward services such as consulting, installation and maintenance as opposed hardware or software. c 1998, Reuters