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

To: Patrick E.McDaniel who wrote (66252)	9/19/1998 6:13:00 PM
From: TechMkt	Read Replies (1) \| Respond to of 176387

COMPUTER RESELLER NEWS September 21, 1998, Issue: 808 Section: Systems Assembly ------------------------------------------------------------------------ Issues: Co-Location, White Boxes -- Is Channel Assembly Truly The Answer? Eric Hausman New York -- Systems assembly was a hot topic at The Robinson-Humphrey Co. Inc./CRN investor conference, with issues ranging from the white-box market to co-location to who was responsible for the lack of progress in reducing costs. "This is a controversial issue, but there's been a little bit of a shortfall on the promise of channel assembly," said Ed Anderson, president and chief executive of CompuCom Systems Inc., Dallas. "We thought channel assembly was the answer. We've done our part, and now we are waiting for the manufacturers to do theirs." Tom Meredith, chief financial officer of Dell Computer Corp., was quick to jump on the issue. "The expectations of channel assembly were higher than the outcome. I don't see it as a threat to the direct model. [Indirect PC vendors] made promises to the channel with expectations that were too high," he said. Meanwhile, many channel players now look to the co-location option. "Co-location has promise, but it has risks," Anderson said. John McKenna, president and chief executive of Entex Information Services Inc., Rye Brook, N.Y., said his company is considering co-location. "We are evaluating co-location," McKenna said. "We have a study out there looking at co-location and in-transit mergers to take cost out of product." Other channel players continue to forge ahead with their own plans. Ingram Micro Inc. said it has started shipping white-box computers built at its Memphis, Tenn., channel assembly plant. Jeff Rodek, Ingram Micro president and worldwide chief operating officer, said the systems were basic PC configurations and were built in bunches of about 10 to 30 for resellers in the government and education markets. "It was a soft launch, not a big bang," he said.

To: Patrick E.McDaniel who wrote (66252)	9/19/1998 6:14:00 PM
From: TechMkt	Read Replies (1) \| Respond to of 176387

I was just at a Circuit City this afternoon and saw one of those BTO kiosks. A few observations: -They only offer NEC. The salesman said Compaq and HP should be available by the end of the month -The selection of available components is sparse. No brand name components, only generic names. -Only one kiosk computer per store. Wait your turn. Not surprisingly I did not see anyone ordering a BTO at Circuit City. -I talked to a salesman to see if there were any 21 inch monitors for sale. He said he did not know that 21 inch monitors were on the market yet. A little behind his time. In short, the experience made me very comfortable that DELL's BTO model is in no jeopardy of being copied. I think the people who use the kiosks will be those who do not know about DELL. It's a burdensome process and is not as convenient as ordering from the comfort of your home with no lines to wait in and no under-trained salesman to misguide you. Fez

To: Patrick E.McDaniel who wrote (66252)	9/19/1998 6:49:00 PM
From: Mohan Marette	Respond to of 176387

Q3 unit shipments. Hi Pat: I saw a report the other day,guess it was from SoundView but not quite sure,where it was mentioned that they expect DELL's Q3 unit shipment to exceed 2 million.So my point is that your "bogus accounting' just might turn out to be not so bogus after all.<g> BTW you remember what the sequential unit growth rate was for Q2/Q1? As an aside, I thought I heard M.Dell pointing out somewhere that Dell captured 50% of all the unit growth in PCs in the U.S market in Q2 or something to that effect! Unbelievable,eh?