7/1/95                        CompuNotes                        Issue #14
                  Patrick Grote, Publisher and Editor
     CompuNotes is a weekly publication available through an email
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We feature reviews, interviews and commentary concerning the PC industry.

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                         This Week's Contents:
                         =====================
                                  NEWS
                                  ====
           -=> Windows '95 -- Best Thing Since Automobile <=-
                        -=> CIX Information <=-
                                REVIEWS
                                =======
                 -=> WarCraft by William M Frazier <=-
            -=> Microsoft Cinemania '95 by Patrick Grote <=-
                          WEB SITE OF THE WEEK
                          ====================
                  -=> AutoDesk Opens Up a WebSite <=-
                          FTP FILE OF THE WEEK
                          ====================
                -=> Disk Duplicator - The Best Ever <=-
                               INTERVIEW
                               =========
       -=> This Week's Interview is Replaced by an Editorial <=-
-=> IBM's Gluttony For Punishment With PCs -- By Craig W. Borysowich <=-

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------------------------------------------------------------------------
   NEWS OF THE WEEK| This section is dedicated to verified news . . .
       All News (C)opyright  Respective Owner - Will Only Reprint
------------------------------------------------------------------------
           -=> Windows '95 -- Best Thing Since Automobile <=-

    By Robert Manor, St. Louis Post-Dispatch  Knight-Ridder/Tribune
Business News
    Jul. 2--Windows 95, soon to replace the enormously popular Windows
3.1 from Microsoft, is igniting profits for software designers, computer
makers and chip manufacturers -- and may make personal computers even
more popular than today.
    "Windows 95 will transform the computer industry just as the
automatic transmission did the auto industry," said David Powers, an
analyst with Edward D. Jones. "Windows 95 will be the most significant
launch the PC industry has seen in the last decade."
    "This is going to benefit the computer industry a lot," Powers said.
Analysts say Microsoft will sell at least $1 billion worth of Windows 95
within a year of its August launch. The company's stock has risen from
less than $48 to more than $91 over the last year, as investors
anticipate future profits.
    The operating system is expected to be so popular that floppy disk
makers are warning their customers a shortage is coming. Windows 95 will
come on a dozen or so disks, and Microsoft is buying so many that
manufacturers aren't sure they can keep up with demand.
    Software designers around the world are modifying programs to fully
benefit from Windows 95's greater speed.
    Computer makers are gearing up to build the more powerful PCs needed
to run Windows 95, which will speed the obsolescence of existing
computers.
    And IBM, repeatedly defeated by Microsoft in the marketplace, may
see its  competing operating system, OS/2 Warp, disappear. IBM says Warp
won't run  software designed for Windows 95, meaning consumers must
irrevocably choose  between IBM or Microsoft. Nearly everyone bets
Microsoft will win.
    So what is Windows 95? "It looks like Macintosh," one Windows 95
user said recently. Windows 95 does indeed feel more like an Apple
Macintosh than its  ancestor. Mac has a trash can for deleting files.
Windows 95 has a recycling  bin. Mac is known for stability and
resistance to crashing. Windows 95 comes  with crash-resistant features.
    Gone are a dependence on Program Manager and group icons of related
software.
    Boot up Windows 95 and a toolbar appears with a single button
bearing the word Start. Click on Start and a list of applications
appear. Click on the word Ami-Pro, for example, and the word processor
application pops up.
    Windows 95 tries to make IBM-compatible personal computers as easy
to run as the Mac.
    One of the most difficult tasks in setting up a computer is getting
the printer, CD drive and other peripherals to work. There are ports to
be assigned, device drivers to install, IRQ conflicts to resolve.
    Windows 95 features Plug and Play. The operating system lets the
user plug in a laser printer or modem, and Plug and Play does the rest
-- or at least is supposed to. People testing the system say it
sometimes fails.
    And Windows 95 promises speed. The operating system uses 32-bit
code, which can move data at higher speed than the 16-bit code used by
previous versions of Windows. As a result,
    Windows 95 memory management is more efficient and printing and
other tasks  finish faster. At least in theory, the system is more
stable.
    While 32-bit code makes Windows 95 faster, it is also likely to make
dozens of software companies richer.
    To fully use 32-bit's speed, software makers around the world are
racing to rewrite the internal code of their products. A new generation
of database  programs, word processors, games, and communications
software will be on the  market soon, all designed for Windows 95.
    Powers, the analyst with Edward D. Jones, says software companies
like Symantec, which sells utility programs, can expect a flood of sales
as computer users upgrade their software. With 70 million or so Windows
users  around the world and the number growing every day, the market for
upgraded  software is enormous.
    Almost alone, IBM is deciding not to get involved. IBM won't make
its OS/2 operating system compatible with the new software designed for
Windows 95. Because Microsoft outsells IBM by a huge margin,  industry
analysts speculate IBM may be getting out of the market for  operating
systems.
    Windows 95 has a little secret, certain to please computer makers
like Compaq, and chip makers like Intel -- if your computer is more than
a year or so old, Windows 95 may not run on it.
    Microsoft says Windows 95 needs at least a 386DX system with four
megabytes of RAM to function. People who have used it say that
requirement is absurdly optimistic. Windows 95 needs at least a fast 486
system with eight megabytes of RAM, and really runs best on a Pentium
with 16 megabytes of RAM.
    Joe Haspiel, of Washington University's Center for the Application
of Information Technology, said test versions of Windows 95 actually run
slower  than Windows on some PCs.
    "We found that on a machine with a lot of memory, it was roughly
equivalent to Windows speed," he said. "But it took more memory to get
to that speed."
    The need for more memory means millions of potential customers
around the  world will have to get rid of their 386 machines with their
four megabytes of  RAM, and invest in a new Pentium with four times as
much memory.
    Industry analysts say Intel and other chip-makers will race to keep
up with the demand created by Windows 95. And retailers like Circuit
City and others in the rapidly growing group of computer superstores can
expect sales to jump.
    Windows 95 will drive more than the market for computers and
software. Even the humble floppy disk is affected. Microsoft and other
software makers need all they can get for their new products.
    "Our disk suppliers are telling us there is going to be shortage due
to the blowout of Windows 95," said Dan Fuller, owner of Executive
Personal Computers in Florissant. "We have heard that from three disk
suppliers."
    "The supply of floppy disks is so abundant, it must be a really
massive demand, " he said.
    Despite the computer industry's optimism about the impact of Windows
95, some consumers may find themselves a little disappointed, at least
at the beginning.
    Microsoft had planned to include Microsoft Network -- an on-line
service similar to Compuserve or American Online -- in Windows 95.
Network would have  a tremendous advantage over its competitors, simply
because it would be  included on most of the PCs sold around the world.
    Last week the Justice Department issued subpoenas, seeking
information about the effect Microsoft Network would have on the other
on-line services. The online software could be dropped if the government
intervenes to preserve  competition.
    And then there is the continuing problem with all new software --
early versions have problems that later must be fixed.
    Windows, for example, was not a particularly reliable system when it
was first introduced. With each new version, Microsoft had to issue
"patches," small repairs to fix glitches. Windows 95 is certain to have
its own bugs.
    Then there is the network software Microsoft has kindly built into
Windows 95. It's meant for small networks, a real estate sales office,
for example. It is not meant for industrial-strength networking with
many users and a systems operator.
    Several people who have set up Windows 95's network say it is not
especially simple to use, and anyone hoping to install it needs a good
deal of expertise or special training -- exactly what operators of small
networks were hoping to avoid.

                        -=> CIX Information <=-

    HONOLULU--(BUSINESS WIRE)--June 30, 1995--The Commercial  Internet
eXchange (CIX), the trade association representing  160 Internet Service
Providers (ISPs) throughout the world,  completed its annual meeting in
Hawaii today.
    Highlighting the two-day session included the election of key
officers, setting priorities for major legislative and regulatory
issues, impacting ISPs, defining CIX operational activities, and
defining programs to further accelerate worldwide adoption of the
Internet.
    The CIX conference was held concurrent with INET '95.
    Key officers elected included the re-election of Bob Collet,
Sprint, Government Systems Division's director of engineering, as
chairman of the board and president. Ty Graves, Fibercom's director  of
operations, was also elected to the board. Glen Kowack, board member
and president of GK Consulting, was appointed vice president. Susan
Fitzgerald will continue as the association's executive director.
    The membership approved the CIX legislative and regulatory  1995/96
agenda, an initiative to develop Internet registry tools,  and continued
operation of the network access point service which consists of routers
and Switched Multimegabit Digital Service (SMDS) interconnection
service.
    The membership also endorsed an initiative to begin a dialog  with
various international telecommunications organizations to  encourage
adoption of regulations which will facilitate deployment  of Internet
services for commercial use throughout the world.
    "The progress made at this conference marks an important  milestone
in further defining the role CIX will play in the rapidly  growing
Internet market," said CIX President and Chairman Bob  Collet. "By
focusing on important legislative and policy issues,  such as pending
telecommunications bills, issues before the  FCC, and the globalization
of the Internet, CIX is now  poised to effectively address the needs of
its members and have a  positive impact on the development of the
industry."
    The CIX legislative agenda is focused on the telecommunications
bills. Of key interest are the provisions for Bell Operating Co. (BOC)
entry into the enhanced services business where the objective is to
assure that current measures that facilitate unbundling and comparably
efficient interconnection remain, and to seek provisions which eliminate
cross subsidy of enhanced services, e.g., Internet access service, by
regulated, monopoly revenues.
    Also, the CIX seeks to assure a fair, workable outcome of the
Exon-Coates amendment that will yield the best possible way to provide
parents the ability to select what their children retrieve from the
Internet.
    At the FCC, the regulatory plan focuses on examining BOC  comparably
efficient interconnection (CEI) plans and participating  in the remand
of Computer Inquirey III. FTC activities are focused  on assuring the
reasonableness of telemarketing rules for the on-line industry. DOJ
will be the focus of Microsoft network concerns.
    The proposed Internet Registry Tool Set will allow Internet  service
providers, as well as large corporations, an improved  ability to manage
their address and name space, and routing  coordinated within a global,
distributed hierarchy.
    The membership expressed the need to maintain current router and
SMDS operations. Consequently, improvements in capability will be
initiated.
    The CIX, consisting of 160 Internet Service Providers throughout
the world, is a non-profit trade association that promotes and
encourages the growth of the public data communications Internetworking
industry, both nationally and internationally. Its mission is to assure
fair and open business environments for the members and to encourage
commercial uses of the Internet.
    The CIX also supplies an exchange point to facilitate member
connectivity. The association maintains facilities at 1035 Sterling
Rd., Suite 201, Herndon, Va. 22070. They can be reached at
703/709-8200, and at info@cix.org.

------------------------------------------------------------------------
REVIEWS OF THE WEEK | Interesting software/hardware you may need . . .
------------------------------------------------------------------------
                        WarCraft:  Orcs & Humans
                     Reviewed by William M Frazier

    If everyone who plays WarCraft:  Orcs & Humans, by Blizzard
Entertainment, has as much fun as I do playing the game, then WarCraft
will be a hit along the lines of SimCity and Civilization. This game
has elements that will please almost everyone, from the strategy minded
wargamer to the arcade action joystick junky. WarCraft is a real time
strategic game in which Humans and Orcs battle each other for survival
and domination. But the action goes beyond mindless slaughter and
battle. In fact, in some scenarios you start out with nothing more than
a farm and a few peasants.
    Like the game Civilization, you need to obtain basic resources to
increase your population and advance your technology. In WarCraft,
those resources are gold and lumber. The only people who can do this
for you are Peasants or Peons, depending upon whether you choose to play
the Orc or Human side of the game. As you accumulate the basic
resources, you can choose to build more farms, gaining the ability to
increase your population, or other structures such as barracks, lumber
mills, blacksmiths, etc. different types of structures allow you to add
either a new type of member to your population, or increase your
technological skills in the weapons of war. For instance, if you build
a lumber mill, you can then create archers or spearmen in your barracks.
You can also use the lumber mill to increase the effectiveness of your
spears or arrows. Of course each increase in effectiveness will cost
you more gold. Building a stable (a kennel if you choose to be an orc)
allows you to create mounted knights or wolf riders. The number of
structures and inhabitants you can create is limited only by the number
of mines you can find and the amount of gold contained within them, and
also by your ability to defend your peasants from marauders from the
opposing side.
    Of course, any game featuring orcs and humans would not be complete
without elements of magic. In WarCraft the magic spells vary, again
depending on which side you play. Human magicians are clerics and
conjurers. The cleric has the ability to heal the injured, view
unexplored terrain, and render raiders invisible. Conjurers are able to
summon minor and major spirits and unleash a Rain of Fire to destroy
attackers and enemy structures. The opposing equivalents on the orc
side are necrolytes and warl s. The necrolyte can raise the dead to
continue fighting, view unexplored regions of the playing map, and equip
a player with invulnerable armor. The warlock can perform minor
summoning (spiders), create a cloud of poison, and summon daemons.
    Any game can get old as you gain skill in playing it. It took me
over fifty hours to work my way through all the scenarios included with
the game. Fortunately WarCraft lives on after you win the provided
scenarios. You can play an unlimited number of single player games by
choosing the CUSTOM menu option. This selection creates a random game
map with the player designating many of the elements of the game. But
the best way to play WarCraft is with a human opponent rather than the
computer as oppone WarCraft offers both network and modem play options.
If you are on a network, you can play with other members of the network.
The modem option allows you to connect via modem and play with a friend.
Only one copy of WarCraft is required, with the owner of the game acting
as a server to the opponent. Given enough time, you can usually figure
out how to beat the computer opponent, but games against other humans
are always exciting.
    With the success of WarCraft, Blizzard Entertainment is already
working on the sequel, WarCraft II. This is a game I will definitely
look forward to. Hopefully it will be released sometime around November
ComDex. I would recommend WarCraft to anyone looking for a fun game
that will also have a long shelf-life on your hard drive.
    WarCraft is available in both PC CD-ROM and 3.5 inch disk formats.
It requires a 20 Mhz 386 with at least 4 MB of RAM, a VGA monitor, and
DOS 3.2 or higher. WarCraft supports General MIDI, Soundblaster, Adlib,
and Pro Audio Spectrum and compatible sound cards.


                         Blizzard Entertainment
                     3152 Redhill Avenue, Suite 230
                          Costa Mesa, CA 92626
                            (800)- 545-7677
                           Fax (714)-556-5572
                            CompuServe: None
                               URL: None

                             Cinemania '95
                       Reviewed by Patrick Grote

    Microsoft has long been known for their prowess in operating
systems and business applications, but they have also been a long time
proponent of CDROM technology for the home. Cinemania '95 is one of
their MICROSOFT HOME offerings which demonstrates this commitment.
    Cinemania '95 is more than just a "look up the movie" CDROM. With
film clips, audio sound bites and still photographs, you're immersed
into the world of movies in true Hollywood fashion.
    But, all isn't fluff and light. This CDROM is dead serious about the
information supplied to you. Using Roger Ebert's Video Companion,
Leonard Maltin's Movie and Video Guide, Ephraim Katz's The Film and
Pauline Kael's 5001 Nights at the Movies, you are surrounded by the best
minds in the business when you look up a movie.
    Looking up a movie couldn't be simpler using Microsoft's interface.
You can search by File Name, Actor Name and many other methods. In fact,
you can even have Cinemania '95 pick a movie for you based on your mood
and the type of movie you want to see. Incredible!
    With more than 19,000 reviews spanning over 80 years of file, there
hasn't been a movie on cable that didn't make this disc! In addition to
the reviews you may even see one of the 4000 actor biographies that
accompany the films.
    If you like have cable and watch movies, this CD is an absolute
necessity. If you rent movies often, this CD is an absolute necessity.
If you own a satellite dish, this CD should be part of your installation
package!

                         Microsoft Corporation
                           One Microsoft Way
                           Redmond, WA 98052
                             (800) 228-6270
                        CompuServe: GO MICROSOFT
                     URL: http://www.microsoft.com

------------------------------------------------------------------------
WEBSITE OF THE WEEK! | This section is devoted to a cool WebSite . . .
------------------------------------------------------------------------
                   -=> Autodesk Opens up WebSite <=-

    SAN RAFAEL, Calif.--(BUSINESS WIRE)--Autodesk,  Inc. announced today
that its Web Site on the Internet is live today and accessible via a Web
Browser at http://www.autodesk.com. Information is organized in 12
categories, including What's New, About Autodesk, Products, Product
Support, Market Groups, Education and Training, Government, User Groups,
Developers, Job Search, Interviews and Send Us Your Thoughts.
    Autodesk's intention is to support its traditional stakeholders  as
well as provide information on the company and its products to a broader
set of individuals. "We believe the World Wide Web provides an
excellent medium to support our customers and inform and educate others
about our company and its products. We intend to update information
continually and add new categories of information to maintain a Web Site
that reflects the high energy of Autodesk," said Mike Tabatabai,
Autodesk Director of Worldwide Operations.
    The World Wide Web (WWW) is an international communications  medium,
with approximately 20 to 30 million users and a projected  growth rate
of 10 percent monthly, according to the Internet Society  in America.
The network consists of 1.5 million computers linked by 30,000 different
networks spanning at least 200 countries worldwide. Autodesk is the
world's leading supplier of computer-aided design software and the
fifth-largest PC software company in the world. The Company develops,
markets and supports a family of design automation  and professional
multimedia software, and component technologies for  use on personal
computers and workstations. A global company since  its founding in
1982, Autodesk markets products in 115 countries and  18 languages.
Autodesk shares are traded on the NASDAQ National  Market under the
symbol ACAD. For more information on Autodesk,  please call
415-507-5000, type GO ADESK on CompuServe(R), or see our  Web site at
http://www.autodesk.com.

------------------------------------------------------------------------
COOL FTP FILE OF THE WEEK | You may need this file . . .
------------------------------------------------------------------------
    DISKDUPE TRIAL V5.0 R13 - A disk duplication program used by
professionals worldwide. Its features include single pass duplicating,
automatic formatting and disk change sensing, byte-by-byte comparing,
Relay and Cascade copying, 5.25" to 3.5" disk conversions, support for
Microsoft's 1.68Mb DMF format, CRC protection of disk images, user
definable jobs and much more. From Micro System Designs, Inc. $29.00

      You can find this as DSKDUPV5.ZIP on the following FTP site:

        WUARCHIVE.WUSTL.EDU:/pub/MSDOS_UPLOADS/misc/dskdupv5.zip

------------------------------------------------------------------------
INTERVIEW OF THE WEEK | Interesting people you should know about . . .
------------------------------------------------------------------------

                 IBM's Gluttony For Punishment With PCs
                         By Craig W. Borysowich
 
    It certainly has not been a secret that International Business
Machines has never had any faith in the personal computer. Even when it
was first released in 1981, IBM felt that these machines would never
overshadow the mainstream mainframe operations that IBM has always
dominated. This would be only their first mistake.
    The most basic PC in 81 would cost an average consumer $5000.00,
which certainly didn't make Commodore and Apple nervous of loosing any
market share.
    Even though it was touted as being the revolution business was
waiting for, IBM itself didn't buy in. It was created with old
technology from Intel on the 8088/8086 processor, and a cryptic
operating system produced by a then small basement operation known as
Microsoft, although Bill Gates has not been seen sending any big thank
you cards in IBM's direction. If IBM believed that the PC would become
such a commodity then, as it is today, the industry would sure look
different.
    Abandoning the specifications of ISA to the public domain, IBM went
on their merry way to release the AT computer among many sprouting
competitors. The AT, based now on an Intel 80286 processor, was a
service nightmare for IBM. Thousands of crashed CMS brand Hard Drives
were dumped in the bay offshore from IBM's Boca Raton research centre by
disgruntled customers.
    The decline would continue with the release of IBM's PCjr. A novel
concept in computing technology - design a hamstrung machine that
expands like an AS/400. IBM would soon learn that their midrange
concepts did not apply too well to the PC world (as infantile as it
was). The concept of a cordless infra red keyboard was exciting enough
if you liked to type at the proper angle to have the holes line up with
the infra red receiver. This got harder as you moved further away from
the machine. IBM's MCGA standard which was supported by maybe 3 or 4
software products and even found it's way into the windows operating
system later on, never got recognized as an achievement. A full blown
system would see the size of the box almost triple!  You could add side
cars, top cars, even an undercar module. Of course, some could only be
used if other modules were present, and even had to be stacked in a
certain order which never seemed to get mentioned in the instructions or
the advertising.
    Now IBM had a surge of brilliance to redeem it's market from the
Clones by releasing a brand new architecture know as MicroChannel.
Again IBM applied it's mainframe background to design a more advanced
architecture and forced us to look at the ugly blobs known and marketed
as PS/2. But this architecture was closed and patented. The Cloners
could not create a duplicate without paying licencing fees to Big Blue.
Even third party add on manufacturers had to pay to produce upgrade
cards for the MicroChannel architecture. This was a wonderful Idea
other than they never took advantage of half of the great and exciting
benefits in the MicroChannel architecture (not even with the OS/2
operating system!!). They also chose to use ESDI hard disk technology.
This is after IDE was practically chosen as an industry standard for PC
machines. With IDE on the Market, who wants a revamped MFM/RLL based
hard disk?  The least they could have done if they were scrounging
around for expensive non-standard equipment to justify charging the
ridiculous prices, was to go with SCSI. SCSI was barely known to
Macintosh users at this time. Even today the enormous benefits of MCA,
and it's load balancing, and it's superior bandwidth continue to go
untapped. The cloners were still smarter. They combated MCA with a new
public standard which was EISA. That record didn't get much play
either, though they proved time again that EISA could beat MCA hands
down performing day to day tasks.
    IBM gave the breath of life to the Monolith we call Microsoft today
(sometimes Microsquish, Muckrosift, Microslop, etc.). Even when they
had a chance to build a partnership to give IBM a share of the PC
operating system market with OS/2, IBM blew that opportunity apart.
They did however keep the rights to OS/2 and have managed to create more
marketing literature, advertisements, brochures, and presentations than
any other product marketed in history to achieve only a nominal amount
of sales. And now IBM has it on the books to cancel the OS/2 operating
system if major improvements in its market share are not seen soon.
They are also trying to produce the Taligent operating system jointly
with Apple Computer to run on the PowerPC Platform (but we won't see any
of that until the end of 96). IBM originally released the PowerPC
workstations in summer of 94 (as part of the Risc6000 family). In
November of 94, it was said that they would hold back the release of
their PC level PowerPCs until the availability of the PowerPC version of
OS/2, which was called for Q1 95. IBM really had egg on their faces
when in late Q1, early Q2 95, they released the higher end PC level
PowerPC machines with no OS/2. The PowerPC version of OS/2 is now
expected sometime in Q1 of 96. Apple ran away with the PowerPC market
after moving close to 400,000 units in Q4 of 94. That is great for any
PC manufacturer.
    I do have to give IBM credit in one area of Computing, and that is
the Notebook. After many failed attempts at luggables, the ThinkPad was
truly ingenious. Why it took them 15 years to release the TrackPoint to
the public (That is the number of years that it sat in a lab), I cannot
say, but it is certainly one of the better mouse alternatives going on
the market today. Of course the supply of products has also been a
problem for IBM. This is another indication of their lack of commitment
to the PC side of their business. The 10.4 inch active matrix screens
that IBM was so proud of, only had a yield of 1 usable screen for every
4 produced. A 25% yield is certainly a far cry from IBM's usual six
sigma target for their own manufacturing plants. Thus with a huge
demand for ThinkPads, IBM could not deliver. What made matters worse
was that they forced the manufacturer of the screens to shut down
production and re-engineer the process to double the yield. For four
months, IBM had only a trickle of screens until the process was
complete. Many of the potential buyers went to Toshiba and Compaq for
their notebooks after waiting periods of up to 8 months for an IBM -
even large corporate accounts were being turned away by IBM sales reps.
Early in 95 an earthquake leveled most of Kobe Japan. You guessed it -
that's where the screen manufacturing plant was located. While the
plant only suffered minor damage and was off-line for less than two
days, no shipments were able to go out from Kobe with any reliability
for at least a month. This caused a minor constraint on product
availability.
    Many People ask - What about the PowerPC Notebooks?!? - IBM has
wanted to release PowerPC based Notebooks since early summer of 94.
However problems arose with internal politics. It seems that the people
responsible for notebooks were part of the Mobiles division. The people
designated to preside over the PowerPC chip within IBM was a group
called PowerPartners. While the Mobile people wanted to start designing
a ThinkPad that would operate on the PowerPC, the PowerPartners group
decided that they were the ones that should be in charge of such a
project. This internal conflict has never quite been resolved.
    Compaq gained the Number one position for market share over IBM in
late 94. This was done while broadcasting to IBM that they were going
to take it. In Mission statements from Compaq, they said that they
wanted to have the largest market share. In Spring of 94, a Compaq
press release announced that their manufacturing was ramping up
significantly. In the late Summer of 94, another Compaq press release
stated that they had significant overstock in most of their products.
IBM made a big statement in the fall of 94 with their new Aptiva model
computers, which were actually multimedia versions of their PS/1
machines. The machine won many awards, which IBM was not used to
receiving for their desktop machines. However, retailers were told
around Mid-November that what they had in stock of the popular models
was all that was left, and that more would not be available until Q1
95. Loving parents who wanted to have something under the tree spent
the next month and a half flocking to Compaq.
    I know that I have not mentioned much about the PS/1 series of
computers; all that really needs to be said is that from 87 to 93,
they were expensive and poorly equipped. In most cases, a clone could
be bought for half the price and provide twice the machine compared to
an IBM PS/1.
    It is painfully obvious that there is poor commitment on IBM's part
to jump with both feet into the PC industry. They have been
surrendering the lead to other companies throughout the past 15 years.
Even with Lou Gerstner trying to give IBM a cool image - with the dress
down policy, the MTV advertisements that have a multicultural feel,
50,000 subscriptions for IBM managers to the famed Wired Magazine, and
now the purchase of Lotus Development Corp. - IBM has not made the
headway they have been looking for. OS/2 is still failing despite the
delays of Windows95. They still have mainframe focuses and concepts
ruling the corporate structure. Their entire structure is too bulky and
cumbersome to produce timely decisions. Divisionalizing and
departmentalizing has made these problems worse (remember the 7
different logos used in early PS/2 equipment, because each department
that designed a part of it had a different concept of which logo was
better?). Hopefully the influence of Big Blue will not crush the
productive nature of Lotus, and it will be allowed to continue as a
largely autonomous body. Does the take over mean that they are becoming
more serious about the PC side of their business? Maybe. IBM is a major
user of the Notes platform and may be looking for a way to get cheap
licences, pick up a successful leading software product (which they have
never had), and is trying more to secure a stake in the software world
than hardware. Meanwhile Lotus was desperate for an infusion of
capital. Thus there is potential for seriousness, but their track
record is not encouraging.

A little humor about IBM . . .

                   Top 10 Reasons IBM is buying Lotus
                   ----------------------------------
 
   10. IBM Finance could not run their Visicalc spreadsheets in OS/2 Warp.
    9. IBM wants to show Microsoft that they have better Antitrust lawyers.
    8. IBM thought they were buying the auto company.
    7. Lotus CEO Jim Manzi mooned Lou Gerstner on the Lotus Home Page.
    6. IBM's own email product, ccProfs, never caught on.
    5. It was the easiest way for IBM to acquire copies of Windows 95.
    4. Bill Gates double-dared Lou Gerstner.
    3. Lotus Warp rhymes with basketball guard Otis Thorpe.
    2. IBM will rename Lotus' spreadsheet program to 1-2-3.3 billion.
    1. The Notes server in Armonk is down.

                    This issue was brought to you by
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