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Technology Stocks : EMC How high can it go? -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (6105)	5/1/1999 12:36:00 PM
From: SDR-SI	Read Replies (1) \| Respond to of 17183

Tony: In a way I think that Dell and some of the others may be performing a service for EMC. They are introducing new customers, many at a lower requirement level than best served by the EMC line, into the world of enterprise storage. Many such entrants, once they make the initial investment in such systems, and once enterprise storage in itself becomes visible to the company's non-IT management, will soon begin to see increasing demand and usefulness for enterprise storage. IMHO that the Dells, etc. are thus starting their customers out on the path of requirement growth where many will ultimately become good potentials for the more sophisticated, capable and flexible EMC systems, and to whom the EMC marketing machine can address its sales objectives without having to spend a lot of time getting the concept of enterprise storage to be accepted. Just my opinion, no statistical backup. Steve

To: Tony Viola who wrote (6105)	5/1/1999 7:22:00 PM
From: JRI	Respond to of 17183

Tony- It is simply not Dell's style to make huge leaps into technology-new areas where they are not experienced. In other areas, it has taken the tactic of nibbling around the edges until sufficient experience/partnerships have been developed until Dell can compete in a (bigger part) 30/40% or more of the profit stream....But Dell is very concerned about maximazing the profit stream, so, often, it has no desire to compete in areas where the capital investment vs. return does not make sense. So, like service (vs. IBM, Compaq, EDS, etc), I find it unlike Dell will make a frontal assault against EMC in the next couple years....Dell will be happy to stake some ground in the low-end, and developing storage (like you posted) areas where growth will be sufficient for more than 1 player.. So Dell is not the player to worry about in the next two years...