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Technology Stocks : OBJECT DESIGN Inc.: Bargain of the year!! -- Ignore unavailable to you. Want to Upgrade?


To: Bob Trocchi who wrote (2676)1/10/1999 9:21:00 PM
From: hasbeen101  Read Replies (1) | Respond to of 3194
 
The problem with software pricing is that the ultimate margin depends on how many units you sell ... and how many units you sell depends on the price. A lower price means more sales (but how many more?) and less profit per sale.

ODIS has an expensive sales model. You don't just go to a computer store and buy shrink-wrapped product like you do with Microsoft stuff. This partly explains the high prices (and maybe the unsatisfactory revenue growth!)

I really think some work needs to go into opening up more sales channels. When you've got the time I'd be interested to know what your thoughts about this are.

So far as I know Oracle also have a direct sales model, though I imagine they have a heck of a lot more VARs that ODIS do.



To: Bob Trocchi who wrote (2676)1/11/1999 9:16:00 AM
From: GUSTAVE JAEGER  Read Replies (1) | Respond to of 3194
 
$15K to get an eXcelon B2B server is cheap... After all, there's a premium to pay when you want to purchase a ''cutting-edge-sole-of-its-kind'' technology! Of course, a would-be online business can still wait for Oracle Corp to get ready with Oracle8i... But then again, in this latter choice, how do you cope with XML?? And what about this TCO issue? The Total Cost of Ownership of eXcelon can be a bargain if Object Design, together with WebMethods Inc. can successfully keep their R&D store ahead of the competition.
Compare eXcelon's pricetag to Andromedia's ARIA: an ARIA monitoring software can cost as mush as $100,000!! And how about OMKT's LiveCommerce product? Ain't cheap to get an e-shop up and running...

Here's an article outlining some important tech trends in the coming months:

January 11, 1999, Issue: 747
Section: Electronic Commerce

Poised For Critical Mass
John Evan Frook And Richard Karpinski


techweb.com
Excerpt:

In Development

While high-end Web applications built on COM, Java and CORBA object models will grow in 1999, many enterprises will choose more lightweight, server-side technologies to build mission-critical apps, relying on a combination of HTML, XML and scripting languages. Indeed, the importance of Extensible Markup Language (XML), especially on the server, will grow exponentially in 1999, offering developers the ability to build highly scalable and modular Web applications without having to make the full plunge to Java and objects.