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To: D. Swiss who wrote (37599)	11/25/1998 10:10:00 PM
From: Fredman	Respond to of 97611

Remember, they are not the ONLY supplier to business (Dell isn't), there will be a TON of business cranking in the next 6 months as CIO's finally get thru to the Executive Committees Y2K is here, and can't wait - 'give me 250K to upgrade or we are dead'. This will happen all over the world. Patience, there will be more than enough business to go around.

To: D. Swiss who wrote (37599)	11/26/1998 9:03:00 AM
From: Kenya AA	Respond to of 97611

Drew, Grab a Q-tip. THE THIRD QUARTER IS OVER !! HISTORY ! Haven't you noticed that Mike ain't quite so cocky as he used to be ? No one cares any more about Q3 - they care about Q4 and Q1. The stock market is a forward-looking mechanism. K

To: D. Swiss who wrote (37599)	11/26/1998 10:52:00 AM
From: rudedog	Read Replies (2) \| Respond to of 97611

Drew - Your information, as well as most of the other data I have seen over the last month, confirms all of the business trends I have seen emerging in the last year. I continue to believe that Dell will take and hold the #1 position in North American Desktops. But I also predict that they will see serious price erosion in that market, and will have an increasingly difficult time in their enterprise growth strategy in '99. Dell needs the enterprise growth to maintain margins, ASP, and overall revenue growth. Meredith has already begun to hint that he sees this also - margins and ASP will almost certainly suffer as Dell attempts to maintain unit growth and share gain in enterprise accounts while maintaining their strength in corporate desktops. The market has very different expectations for Dell than they do for CPQ. If CPQ manages growth in the enterprise segment in the 30% range, they will have greatly exceeded expectations already built into the stock, and it will drive up to reflect that fact. if Dell does EXACTLY THE SAME THING they will be perceived to have fallen on their butt, and the stock price will be depressed or trade sideways. So if one is investing in the 2 best companies in the computer business, one of which (CPQ) is very likely to double in the next 12 months, and the other (Dell) being likely to see 25% growth at best, which is the better investment? Tax issues and other considerations might keep many current Dell investors from 'switching' but for new investors moving into the sector, the choice is becoming more obvious. I have not yet determined if I will maintain my Dell investment in '99, reduce my position, or use some derivative mechanism to leverage my current holdings, but the one thing I will certainly not do is increase my Dell position.