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To: Skeeter Bug who wrote (41735)	12/27/1998 6:43:00 PM
From: FJB	Read Replies (1) \| Respond to of 53903

proces drop for one reason. to sell more boxes b/c demand isn't so hot as the seller would like to see. Prices of PCs also drop prior to the introduction of newer models. This has been going on since the PC came into existence. The price and cost of all technologies come down over time - witness PCs and ICs. That's just the way it is. Historically, when prices for new technologies, like the PC or cell phone or DVD, etc. , reach a certain level, they are adopted throughout society. The PC will evolve into a mass of devices. They will be easier to use and more prevalent. The Pentium II of today becomes the Furby of tomorrow.

To: Skeeter Bug who wrote (41735)	12/27/1998 8:37:00 PM
From: Carl R.	Read Replies (1) \| Respond to of 53903

I agree with Robert, there are lots of reasons prices fall, and these price decreases are not particularly large, and also company specific. On the other hand, I would agree with the converse, and that is that prices rise only for one reason, because demand is strong. The fact that one-week-a-month shutdowns by the Koreans was sufficient to put memory into a shortage situation sufficient to move prices up is an indication of strong demand, and also an indication that supply and demand are not as far out of balance as they once were. Carl