T.R | Title | User | Personal Name | Date | Lines |
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2267.1 | | QUARK::LIONEL | Free advice is worth every cent | Wed Dec 09 1992 14:12 | 24 |
| The answer is "none". As far as I know, no TNSG products have been cancelled,
that is to say, there is not a list of products which customers won't be able
to buy or won't be able to find support for. There are some projects for
which funding was removed; management is looking for alternative sources of
support which, in some cases, may involve third parties. It would be foolish
to stop selling products, many of which happen to be very profitable for us
but don't fit into the "model" which management has established, just because
TNSG isn't going to do future development. It would be worse to start naming
names, as this would interfere with our attempt to "market" these products
elsewhere.
Also, you can't look at the people who were let go and determine which products
were unfunded, as in most cases, folks on those projects were kept on and
moved to other projects.
This is the message I've been hearing from my management and I have seen no
reason to doubt it.
The model we're being given is "Distributed Computing that Works". I'm not
exactly sure I know what this means yet, but I do know, for examples, that
compilers are considered one of our "core competencies" and there have been
no language products unfunded (indeed, we even got one added.)
Steve
|
2267.2 | Puzzling strategy | COUNT0::WELSH | Think it through | Thu Dec 10 1992 04:16 | 23 |
| Right now I am in the market for a PC (having realised that
if I find myself on the street one of these days, my run of
the mill knowledge of VMS won't be worth squat).
Would I buy something like 1-2-3 if I knew that Lotus planned
to spend no more money developing it? (Or, for all I might know,
even maintaining it, fixing bugs, etc). No, I would not.
There seems to be an antiquated hardware mindset involved in
believing that a company can stop investing in a software
application and still go on selling it. This might be possible
for hardware: once the VAX 1111 is released and running, you
don't need to spend more money on that specific model. Even
then, people might not be keen to buy if they knew there would
be no new models in the future.
Of course, the party line is that "someone" will step in and
take on any products that we don't wish to fund in future.
I may propose this approach to the company that holds my
mortgage: "I'm not planning to fund this any more, but I am
looking around for some external organisation to do so".
/Tom
|
2267.3 | consider a counterpoint.... | BRAT::REDZIN::DCOX | | Thu Dec 10 1992 08:55 | 17 |
| re .2
Many, many people are of the "If it ain't broke, don't fix it." school.
I purchased a Rainbow in 1984; no hard disk but ~800K Ram. I acquired
Lotus 1-2-3 v1.0 to use for financial accounting/planning. I use
Kermit as a terminal emulator and, occasionally, SEDT. It is little
concern to me if Lotus even folds up their tent. I have had ample
opportunity to get more modern versions of Lotus as well as get a
"real" PC, but what I have does the job I need and I keep my money.
Not everyone/every company is willing to lay out $$$ just to have a new
and improved <mumble> if the present <mumble> does the job.
FWIW
Dave
|
2267.4 | | PLAYER::BROWNL | Really? Well there's a thing... | Thu Dec 10 1992 09:29 | 11 |
| Consider another counterpoint then.
How much confidence can our customers have in our continuing to
support our old hardware? A broken VAX ain't the same thing as a
Rainbow.
As Tom says, a very puzzling strategy, aside from the fact that they
are mostly products where we are facing future demolition by
competitive products unless we invest *heavily* in upgrading them.
Laurie.
|
2267.5 | | TOMK::KRUPINSKI | A dark morning in America | Thu Dec 10 1992 09:38 | 19 |
| You don't make much money selling something to someone *once*.
You can do better by selling them something that works well,
and two years down the line, selling them something new that
works even better. And again two years later. And if we
don't have that something better, you can bet our competitors
will. Sure, there are folks who buy once and make it last,
but you can't make much money off of those folks.
On the other hand, it doesn't make a lot of sense to expend a
lot of resources on products that lose money, break even, or
make very small profits. We have to determine which products
we can invest our resources in to make the most money. Say you have
5 engineers working on project X, which turns a small but steady
profit each year. You might say that this is a good use of those
resources. But what if you took those same 5 engineers, and put them
to work on a product that turns a large profit? Much better use
of the resources.
Tom_K
|
2267.6 | | ECADSR::SHERMAN | Steve ECADSR::Sherman DTN 223-3326 MLO5-2/26a | Thu Dec 10 1992 10:38 | 12 |
| I was told that one of the main reasons for Alpha was to maintain our
VMS customer base. That is, if we didn't keep the hardware technology
competitive our customers would drop us. This is because although our
current VMS machines do fine for them now, our customers need to have
them continually improved to give them a competitive edge in the
market.
Given this train of thinking, why is it that when it comes to software
some apparently think customers will buy technology that may not stay
competitive?
Steve
|
2267.7 | Can profit be counted? | BONNET::BONNET::SIREN | | Thu Dec 10 1992 10:48 | 10 |
| Can we really count, what makes profit and where we lose when:
1. Revenue is not even nearly always booked where it should
2. Costs are not booked where they should and definitely not in
enough granularity
So when the profit comes from somewhere between the revenue and the
costs, how could we know what is profitable?
--Ritva
|
2267.8 | Perceptions mean a lot | STAR::DIPIRRO | | Thu Dec 10 1992 11:18 | 12 |
| Some software projects which *were* profitable also lost their
funding. Many customers, when they see a product enter maintenance
mode, see it as not having a future and begin to look elsewhere. I'd
expect sales of such unfunded software products to drop off rather
significantly.
Also, with the recent downsizing, news is beginning to filter out
to customers that people working on Alpha are being laid off. Customers
have been rather surprised by this, and it leaves the perception that
maybe DEC and/or Alpha has no future or that the company isn't serious
about it. This certainly isn't true, but it's easy to see how some of
these actions might be perceived by customers. This, also, could impact
sales. These perceptions are important.
|
2267.9 | What does this mean for VMS? | MAIL::ROGERS | | Thu Dec 10 1992 12:01 | 30 |
| I think the real implications are for the future of VMS, not AXP.
One of the reasons for developing so many software products for VMS was
so we would have a variety of tools/applications for customers when
they were shopping for a new platform. You have to have certain
"mass market" software to make a platform viable: compilers (of
course), database, spreadsheet, presentation graphics, and word
processors.
VMS isn't attracting as many of those third-party companies because of
lack of potential market volume when compared to MS-DOS, Windows-NT,
and U*ix. If we don't supply those tools (e.g. DECpresent), then we
have to make it attractive for third-parties to supply them (and make
the quality and functionality as good as can be found on other desktop
platforms).
If first-class, world-quality applications don't come to VMS when we
drop those niches, then VMS will wither.
This has to be done, in any case, because we can't afford to fund
world-class products in each of those market niches. Our half-hearted
attempts to supply every need results in products that arrive on the
market late, with limited functionality as compared to the competition,
and usually with just as many bugs as the guys who are hitting on time
with lots and lots of features.
We need volume in order to make all this work. The products we do
provide have to be "killers" that would stand on their own on any
platform. We need "a few good apps."
|
2267.10 | A night of wild disbandon... | CADCTL::BRAUCHER | | Thu Dec 10 1992 12:59 | 8 |
|
Yes, 'disbandoned' (see original note) is exactly what they are. No,
there is no official list. Yes, it would be nice to know the company
strategy, but alas, we don't. No, don't await coherence in marketing !
But don't spread rumors to customers, please. These programs can still
be offered in an ethical way.
|
2267.11 | | RANGER::BACKSTROM | bwk,pjp;SwTools;pg2;lines23-24 | Thu Dec 10 1992 14:27 | 9 |
| Re: .9
If it only were VMS products that are affected... as things are today, also
many OSF/1, DOS/Windows and OS/2 products are, apparently, 'disbandoned'.
One can only hope that the "smoke" clear soon, and we'll really find out
where we stand (hopefully not up to our necks in something unpleasant ;-).
...petri
|
2267.12 | You may need to be persistent | SMEGOL::COHEN | | Thu Dec 10 1992 15:39 | 6 |
|
Unfortunately, in the near term, you should talk to the appropriate
manager to get the "new level of support", whether it's in maintenance mode,
de-funded, new and improved or whatever.
Bob
|
2267.13 | Where do you start? | GUIDUK::FARLEE | Insufficient Virtual...um...er... | Fri Dec 11 1992 15:06 | 15 |
|
>Unfortunately, in the near term, you should talk to the appropriate
>manager to get the "new level of support", whether it's in maintenance mode,
>de-funded, new and improved or whatever.
If you do not know which products have been affected, where do you start?
Where do you stop?
Do you send mail to every single product manager whose products you have
dealings with? A little math shows this to be completely unworkable from the
PM's standpoint, let alone being a waste of time for thousands of info-seekers.
On the other hand, if such an avalanche of E-mail did descend on the product
management, maybe a list would appear PDQ...
Kevin
|
2267.14 | The GE model: be either #1 or #2 or out of that market | TLE::JBISHOP | | Fri Dec 11 1992 15:40 | 20 |
| If DEC has 5 people working on a tool which competes with a tool
made by 50 people working at (Borland,Microsoft,Symantec,Lotus..),
what should it do when its competitors start improving the tool
faster than it can? I see two choices:
1) Hire another 45 (or more) and compete for the #1 slot;
2) Drop it to maintenance mode (1 person), and shift the
4 left to other work.
Clearly if there are 200 total people, DEC can combine both approaches,
and go from 40 products at 5 each to 4 products with 50 each.
TNSG had too many products for the number of people it had. DEC can't
affort to hire people to make up for this, so products have to go.
It'd be nice to compete across the board in the software world.
DEC doesn't have the resources to do that.
-John Bishop
|