Tuesday, December 14, 2004

IBM---SUPER COMPUTERS ARE CHEAP!

This morning we added shares of IBM to a monitored account. We paid $96.80 per share.

IBM has made inventions that make existing computers obsolete. Many large firms have strung together Linux boxes as a cheap way to purchase computing power. However, this is not a cheap way to operate.

The electricity cost for a large string can be $25,000,000 per year. For the same computing power with IBM super machines, the cost are about $1,800,000 per year.

Forty-three percent of the "big" computers in the world are IBM. The world economy has entered a capital spending phase. Billions will be spent on computer upgrades over the next 5 years. IBM will get its fair share of these billions. Buy IBM with confidence with plans to hold for 5 years or more.

0 comments: