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

To: gbh who wrote (101892)	2/18/1999 12:18:00 AM
From: BGR	Respond to of 176388

Gary, Perhaps DELL can survive the margin erosion from the sub1K market from the margin gain by product mix shift towards higher margin. But my fear is that with the S.E. Asian countries entering the fray, pretty soon the now sub1K market will become the sub500 market and in no time like the DRAM business. DELL can handle less efficient companies which are in the business to make money after all, but not this kind of competition. The cost benefit ratio doesn't make sense to me. After all, you have to sell 10 sub 1K PCs to make up the revenue of a decent server - so how much top line growth does that buy you? I somehow suspect that they are doing this to return Intel a favor (to counter AMD). We will see. -BGR.