Hi JFW listers,
While this piece is overly long, I think it raises some considerations as to
the future of our industry; I submit it in its entirety here for
your consideration.
--------------------
Wednesday November 03 0701 PM EST
Compaq to show 'legacy free' PC
John G. Spooner, ZDNet
Compaq Computer Corp. is set to clean the slate next week --
introducing a new legacy-free PC for corporate customers.
The Houston, Texas, PC maker, which is rolling out the new desktop in
the hope of curbing a slowdown in corporate PC sales, will offer new
services, including Internet access, with the legacy-free computers.
While PCs have added new technologies over the past few years, hardly
any of them have eliminated support for older technologies at the same
time. As a result most PCs have several unused ports and buses, such
as the 16-bit ISA bus. By doing away with older technologies, PC
makers and Intel Corp. (Nasdaq INTC) hope legacy-free PCs will
translate into desktops that are cheaper to buy, easier for employees
to use and easier for IT managers to maintain.
Analysts agree that legacy free is the way to go.
"I think it's good to be legacy free. I think things like ISA are an
abomination, so why not get rid of them. Why not standardize on USB?"
said Roger Kay, manager of International Data Corp.'s Desktop PC
Practice in Framingham, Mass.
A shift in practice
Kay was unable to speak directly to Compaq's (NYSE CPQ) forthcoming
product. He said, however, that going legacy free marks a shift in the
practices of PC makers.
PC makers may have been reluctant to move customers away from older
technologies, but on the other hand, Apple Computer Inc. (Nasdaq
AAPL), has shown that it can be done successfully with the iMac.
"Apple has always been very aggressive about legacy free. They've left
their base behind. That's been an advantage for them, so that they can
release unburdened technology," Kay said.
'You won't recognize it'
Compaq's new PC, to be unveiled in a New York event hosted by company
president Michael Capellas, will present a new design and marketing
philosophy from the company.
"You'd never recognize it as a Deskpro," said one source.
The PC, which is code-named Vista, will run various versions of
Windows, including Windows 2000 when it is available, and offer the
latest Intel Pentium III chips, announced earlier in the month. It
will, however, also unburden users of legacy hardware. A completely
legacy-free model, and lacking ISA and other technology such as PS/2
ports, will be announced at the event. At the same time, a model that
offers limited support for older technologies such as ISA will also be
announced. USB will be the primary method of attaching peripherals
such as keyboards and a mouse, sources said.
Industry observers were critical of the approach of using the Internet
as a selling point for the new PC, as large corporations generally
have their own Internet access already installed. It would make more
sense for a consumer or small business-oriented PC, they said, to
offer Internet access. For corporations, strategy of partnering with
entities such as application service providers to offer additional
services to go with the new PCs makes more sense, the observers said.
Pricing on the new PC is expected to be competitive with, if not lower
than, regular desktops. Compaq may also offer customers the ability to
subsidize the cost of the PC with Internet access. Further details on
the pricing scheme and projected ship dates for the new PC will likely
be made public at the New York event. Compaq will also show off the
new PC at this month's Comdex/Fall in Las Vegas. It is unclear if the
company's consumer division will have access to this design or market
a similar one of its own.
Compaq isn't alone in its development of a legacy free PC. Other PC
makers will also demonstrate legacy free PCs at Comdex. They include
Packard Bell/NEC, which was scheduled to introduce a new all-in-one
design legacy free PC with a small footprint. NEC announced Wednesday,
however, that it was closing most of Packard Bell's U.S. operations,
and it was unclear whether or not the introduction would be shelved.
Start of a legacy-free trend
Toshiba Corp. and several other PC makers are also working on
legacy-free designs, sources said.
Legacy-free PCs are driven largely by Intel, which believes that by
simplifying the design of PCs and utilizing USB, that PCs can be made
easier to use. The company has issued guidelines for easier to use
PCs, which focus on dropping legacy items such as ISA. Intel has been
working with Microsoft Corp. (Nasdaq MSFT), which is also working to
simplify the PC through new ease of use features being built into its
Consumer Windows operating system, on some aspects of the project,
known under the umbrella name Easy PC.
Advanced Micro Devices Inc. (NYSE AMD) is also developing a legacy
free PC strategy of its own. Announcements are expected soon on the
program, which will also work to remove legacy hardware from AMD-based
PCs. AMD has devised a legacy free PC design of its own, which it will
license to PC makers. The design, based around an AMD K6-2 chip,
offers a small form factor with the CD-ROM drive mounted vertically on
its front, above a pair of USB ports.
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