Will Apple move to the POWER 5 instead of PPC?
Reply 121 of 121
January 9, 2005 1:34PM
Originally posted by Brendon
So that would leave all of business, and all server markets. There is a reason that Dell and HP and others are after the service market, because there is little money in PCs. Macs are different. So IBM could sell Macs to business, and offer Xserves as well as thier own servers. The real money is not in making the machine the money is int he service contract. A friend of mine is a service guy for a small business. IBM was the only other company that would offer support contract because the business was out in the sticks. The IBM contract would mean that the business would have to buy computers that IBM would sell to them at a 50% mark-up, then if they needed service they would have to pay $150.00 per hour and a minimum of 8 hours per call, that is even if it took them 30 minutes when they got there the business was charges for 8 hours at $150 per hour. The real money is in the contract. If I could sign contracts like this, I don't care who makes the box. By using linux IBM just gets around having to pay MS for server tools and seats.
But don't forget that IBM still has a position in the spinoff...about 27% I think. There is no reason that IBM would not want to promote a desktop standard using their CPUs. On top of that, they would definitely have a leg up on anyone else in providing services to corporations using the PC II spec hardware (whoever might make it) and selling their servers (or Apple's where suitable) to go along with it.