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

To: rudedog who wrote (60535)	5/7/1999 2:46:00 PM
From: rupert1	Read Replies (1) \| Respond to of 97611

rudedog: Re: Message 9389446 I can see this will: (1) Reduce costs. (2) Reduce complexity. (3) Speed up delivery to customer. (4) Earn loyalty of 4/5 Distributors. (5) Create competition between 4/5 and one co-located integrator. (6) Reduce inventory in channel. (7) Reduce financing costs of channel. (8) Provide less controversial space for COMPAQ.com direct sales. But will it also: (9) Lose touch with the market beyond Distributor level. (10) Lose ability to drive sales - too dependent on Distributors. (11) Be restricted to North America.

To: rudedog who wrote (60535)	5/8/1999 6:39:00 AM
From: rupert1	Read Replies (1) \| Respond to of 97611

rudedog: The questions/points in my post to you #60793, have been partly answered by helpinout's post: Message 9403752 (1) Wintel products at first, but eventually all products. (2) Implemented by August 1. (3) Resellers to continue their configure-to-order (CTO) relationships with Compaq. (3) Should reduce channel inventories by 50 percent. (4) US and Canada, eventually other geographies (5) The 4 represent 98.5% of Compaq's North American volume and there is little risk of market-share loss

To: rudedog who wrote (60535)	5/8/1999 7:01:00 AM
From: rupert1	Read Replies (2) \| Respond to of 97611

rudedog: The points referred to in my previous post raise new questions: (1) Will COMPAQ retain other channels for Tandem DEC high-end products, even after these are added to the Distributor Alliance Program (DAP). If not will the 4 have the ability to expand sales of these products. (2) How does the CTO relationship fit in with the DAP? (4) Does this involve price-fixing between the 4? I see references to the 4 competing for Pimacor business on price, but what about the rest of the universe?