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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: rupert1 who wrote (59784)	4/24/1999 11:41:00 AM
From: JRI	Respond to of 97611

Victor- Thanks for the article...I am a bit surprised, though, that the article continued to use the word (successfully) to describe IBM's efforts with dealers/direct for the quarter... While true they saw a big increase in units and revenues for the quarter, and they have learned to lose a lot LESS money than before, fact of the matter is that division still lost money....I dunno, was that addressed anywhere in the article (summary?) A more complete summary would have included this fact, and the fact that IBM views the units (perhaps) as a "lost leader" (something Compaq is not, can not do at this time)....that is the most interesting point in this whole saga...is IBM willing (going forward) to use hardware as a "lost....or is it loss? <gg>....leader", and what are the implications for the other PC makers (industry) if they do?? IBM has not proven that you can successfully sell through dealers/direct at the same time.....they have (perhaps) proven that you can manage to do it if you are willing to be subsidized by the rest of your operations.... Their points about Compaq were unfortunately correct....it just makes some of EP's statements look all that more stupid...