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To: D. Swiss who wrote (65804)9/16/1998 5:30:00 PM
From: TigerPaw  Respond to of 176387
 
STORAGEThe one thing that I do know is that this is an extremely high margin business and the competition has been making a fortune on this.
Sometimes entering the high margin markets can prevent the competition from using those high margins to subsidise their other operations. This keeps ASP from falling too fast which is good even if the new product doesn't have a huge volume. Of course Dell never enters without the goal of becoming the value leader.
TP