Path: utzoo!utgpu!news-server.csri.toronto.edu!clyde.concordia.ca!uunet!know!cs.utexas.edu!rice!Taffy.rice.edu!jack From: jack@Taffy.rice.edu (Jack W. Howarth) Newsgroups: comp.sys.next Subject: Re: NeXT Positioning Problem Message-ID: <1990Nov11.214338.8369@rice.edu> Date: 11 Nov 90 21:43:38 GMT References: <1990Nov9.160743.18770@magnus.ircc.ohio-state.edu> <10939@milton.u.washington.edu> Sender: news@rice.edu (News) Organization: Rice University Lines: 18 Eric, When Apple released the new machines (Classic,LC and IIsi) they gave some numbers for the amounts Apple would spend on advertising on TV for those machines alone and the expected numbers Apple expected to sell. I think the average cost of advertising was about $40 per CPU. Considering that NeXT will sell a factor of ten less at best (the probably don't have the capacity to produce that much more than that...) that would be at least $400 per NeXT box. Considering that they are almost giving the 040's away as it is, they could never afford it. The thing I wonder about is considering that NeXT can barely be in the black as it is, how long will Canon, etc. bankroll them. I'm sure someone has already written off the factory and startup costs as unrecoverable. Otherwise, NeXT could never price these machines so low. Also, is NeXT on the stock market? If it is a private company, NeXT could be mighty deep in the hole already and just keeping it mouth shut whereas a public company would have to face up to its share holders occasionally. Jack Howarth