Re: What follows/Followup

[mcrump@xxxxxxxxxxxxxx]

I believe the 15% has been the historic number.  Currently, that number is
slightly different.  According to Tom Jarosh "about 25 percent of the
AS/400 divisions revenue is coming from new customers, an unprecedented
level".  This has been one of the factors attributed to the very positive
numbers Rochester has had this year.  Of course, that is revenues.  Who
knows where units are.  Assuming that they are like the rest of the numbers
the unit number is higher than 25%.  Of course, you must also remember that
the AS/400 has a wide install base (97% of Fortune 100 or whatever)  so
getting much higher numbers could be very interesting......




Pat, you wrote...

<snip>

> Just remember this one last "fact"... according to most numbers I have
> seen, less than 20% of ALL 400's are new business, the rest being
> replace
> existing accounts.....

<snip>

Just to confirm your fact...
I asked John Erickson (Rochester) about this last night at our LUG meeting.
 The number he gave me was 15%.  Somewhat discouraging to hear!  He also
stated that AS/400 sales are expected to exceed 6B this year (the entire
related industry being worth over 13B annually).  So the rest of us are
contributing 85% of that business.

When asked about IBM's education initiatives, he talked about how IBM is
going to contribute Invaders to the tech schools.  This was a pleasant
surprise to our local school's program director, who happened to be
present.

He also emphasized the stepped up marketing efforts, specifically promoting
the AS/400.

Kathleen Kostuck






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