Is the iPaq the model for future Compaq product lines?
The customer wants less complexity. There’s not a CIO [cief information officer] out there who says “I want every employee to be able to choose a monitor, choose how much memory. Man, I want complexity.” They want really well-designed, innovative products that are simple. We are moving into the phase where more technology is not necessarily better. They [CIOs] actually want PCs to last longer. They don’t want the rapid churn of technology. You’ll see us offer fewer configurations, simpler products, and really simplify [our] distribution. The complexity of today’s products is not good for the customer. In addition, it’s not good for us because it makes the supply chain very complex. Q: Compaq, like every other major computer company, is pushing e-commerce. But your strategy appears less well-rounded than others’ because it focuses so much on your hardware, instead of Internet software or professional services. A: Traditionally, we have done a really good job of developing partner relati