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To: ed who wrote (29889)	7/26/1998 10:25:00 PM
From: peacelover	Respond to of 97611

ed, That is where the service end will be important in the future, and thus the attractiveness of dec's acquisition by cpq. Dell and cpq are not in the same league any more even though wall st does not agree with me. Dell will feel your scenario more than cpq, ibm, etc. and we will find out soon unless, of course, dell uses its highly valuated stock now to acquire a good co like dec before it starts depreciating into the sixties or so. Peace and good luck. peacelover

To: ed who wrote (29889)	7/26/1998 10:30:00 PM
From: Greg Jung	Respond to of 97611

Ed to a large extent the design is standarized. So that "future" you describe is already here, well played out. The problem of HWP, IBM, and CPQ is the reliance on the sale of such generic boxes to the cash flow. It is a problem for them because they fancy themselves (now that CPQ has DEC) as computer creators, not box-making marketeers. Dell gets it correct by just building the box, selling it and delivering it in best possible fashion and use cash to buy shares. IBM is trying to do this to some extent but it doesn't execute as well, and it borrows money to buy the extra shares it needs to meet the expectations game. Greg