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So, the question becomes, How does IBM raise the money? Regardless of the strategy used, the total must be raised. IBM has tried lots and lots of ways; none seem popular.
I am curious: Where does the TCO argument lie today? For a long while, if true total costs were calculated, Windows did not come in as the low-ball price.
Steve Richter wrote:
On 4/3/06, Booth Martin <booth@xxxxxxxxxxxx> wrote:Was it ever anything other than a niche product? Has our platform ever been anything more than a significant but small part of a very large market?Booth, there has never been as large a price premium for the iSeries that there is today. Here is an article dated June, 2002 that describes the new rs6000 systems of that time: http://www.theregister.co.uk/2002/06/25/ibm_floats_regattale_power4s/ "... A base pSeries 630 with a single 1GHz processor, 1GB of main memory, 18GB of disk and a CD drive costs $14,120. ... a four-way machine with base memory and disk will cost $30,120. ...A four-way pSeries 680 with 450MHz Power3-II processors and 1GB of memory and 18GB of disk has a list price of $42,477, and the four-way Model 270-44P tower server with the same hardware inside sells for $50,618. ..." Those 2002 prices for the pSeries were comparable to the prices for the iSeries ( and the rest of the industry ). Now we fast forward to 2006. The i5 is about 20% cheaper than it was in 2002 but the p5 is a fraction of its former price. A 1 way 1GHz pSeries 630 was $14k in 2002. Today the p5 505 2 way 1.5 GHz is $4k! -Steve
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