Jul (07-03) - Belts are tight

July 2, 2003 Editorial

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f you run an S/390 shop, check out the white paper: Moving From Coax (3270) or Twinax (5250) SNA to TCP/IP Ethernet for Host Connectivity: A Strategic Guide to Implementation

I got feedback from my friend Ara who mentioned that my editorial a couple months ago sounded like I was whining about the state of the industry. We should all know and trust that it is not just our industry that is suffering from this downturn. Sometimes just commiserating with other people in other industries makes it all more bearable...As the market continues to tighten, the mood has gone from bad (and impatient) to worse. The remaining dealers have tightened their belts to the point that even small expenses and costs are scrutinized beyond beleif. Purchase orders for small amounts are becoming commonplace. Is it even worth it to sell an item for All I can say is that we are not immune to the economic pressures either, but we continue to stick to our policies of support and to pay our bills on time. This is certainly more than I can say for many others....I haven't noticed any recent disclosures about dealers or distributors closing down, but I don't know how much longer some can last without a significant upswing.

We will be spending time this summer clearing house. Expect to see REALLY cheap prices as we either sell it or toss it. We have been holding on to some parts and machines for too long, expecting some fantasy of a buyer to justify the storage costs. NO MORE! If you need it, want it, or could use it, OFFER!

For those who read this document this far, I would have you know that there are some very big deals going down for late summer, early fall. I won't mention the make and model, but its expected to be over 2000 machines coming back over a three month period. If you have a plan to upgrade or replace your laser printers, hold off until you talk to your rep at Argecy.

As mentioned eariler, rumor has it that IBM intends to offer an internal ethernet IPDS feature for the 4247 line in 6 months or more. As you may know from my previous columns, there are others who sell the same machine made by CompuPrint in Italy. I and others in the market are amazed at how aggressively IBM is pushing the 4247 line over their own more durable 4230 line. Considering how "plastic-y" the 4247 is, it must be very profitable. Clearly the 4230 is a far superior machine and IBM's promotion of the 4247 is a bad way of taking care of the customer. Take our advice. Stick with the 4230's (and upgrade to ethernet with the ACC line), or consider the Tally T6050 or PSi 806. They are more durable, easier to maintain, and a heck of a lot better constructed.

Another dealer network has made a splash. Brokerbin seems to offer all that PowersourceOnline claimed to offer (guaranteed inventory with daily dealer updates), but at a significantly lower cost. With things as tight as they are, the premiums charged for Powersource are under a microscope... read between the lines folks.

At the high end, great opportunities exist to get rid of the aging Xerox laser printers and their proprietary XES/UDK code. For plus the cost of a printer you can use standard PCL devices to free up resources. These models are widely accepted and supported for your high speed laser requirements: IBM 2085, 2105, 2110, 2770 (IP70), 3160 (IP60), 3900, 4000, 4100. Need Pre- and Post-processing? Ask about the wonderful bargains that exist. Don't be bashful.

Sweet spots:
IBM 3151, 3472, 3482, 3486, 3487, 3488 terminals - but please check out the CLI et2000, et3000 and et5000 lines or the I/O TC4000.
Various Wyse Winterm models
IBM 3900-0w1 Venerable printer can be upgraded to the 4000 series.
IBM 4224-101, 201 - you can add internal ethernet to these and they last forever.
IBM 4230-201,1s2, 202 - (check out the internal ethernet for the 4230 family)
IBM 4317-001