On Mon, 3 Sep 2001, Dan Jenkins wrote:

> Quote from story from NY Times on HP buying Compaq...
> 
> "Both Hewlett-Packard and Compaq have been hurt by price wars
> in personal computers, where it has been difficult for makers to
> differentiate themselves when all except Apple Computer are
> offering operating systems from Microsoft."
> 
> Linux is a differentiating factor.
> (However, once world domination is achieved, it won't be.
> Any monoculture is bad.)
> 
> Of course, the real problem for Compaq, et al is commoditization of the
> PC.

While I don't doubt that Compaq has been hurt by the commoditization of
the PC, they've been hurt much more by their own actions. How many people
remember when they bought Digital, the infamous quote about how all VMS
users should move to NT? How about storing the PC setup program on the
harddisk? How about using custon designed parts (including those damn
screws) instead of commodity parts? I could go one....

I beleive someone once told me that Dell has 12 hours of inventory on its
books, that when you buy a Dell PC, they actually use your money to buy
the parts. Compaq just never seemed to understand that.
 
> More OS choices might help, but they could be commoditized too. With
> Linux, et al, however, you have more ways to configure the desktop. This
> reduces the commodity aspect, and could return some semblance of brand
> perception.

True, but that might upset MS, and Compaq are very close to Microsoft. I
think you'll find that most of their sales still involve MS products. It
would have been silly to alienate MS for a few more Linux boxes (from a
business perspective).

> We provide general tech support. Quite often when we ask what type or
> brand of computer a client has, they don't know or they're wrong. (They
> say they have a HP, but they have a Gateway, for example. Or they just
> say Windows.) I feel most users don't really distinguish the different
> makers or care. (Of course, I never have a Mac or Linux user get it
> wrong.) Since the user doesn't care who makes it, they just buy the
> cheapest.

Yup, users don't care who made it, they just want to know why it isn't
working.

FWIW, I see this merger as a last effort by the CEOs of Q and HP to "make
their mark" on the industry. Both were brought in with much fanfare and
have done little (in anything) to improve their respective companies. I
think the saddest part is that many Compaq people in the NE will be let
go. I just can't see HP choosing Tru64 over HP-UX (the later is already
running on Itaniam, the former isn't, not officially), and as for poor
VMS......

Of course it does shed additional light on why Q licensed Alpha to Intel,
HP would never have swallowed that one.

--rdp


-- 
Rich Payne
[EMAIL PROTECTED]                   www.alphalinux.org


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