RE: [MLUG - DISCUSSION] Obsolete hardware

["Ross, Matthew" <EMAIL:PROTECTED>]

Part of the impetus for price drop is the value difference between it and a new model, part is the "dumping" of similar models on the resale market, and part is the dramatic drop in new machine prices. Not only did a new machine cost $12k back then and fell to $200, but the market equivalent of it has fallen to about $1k as well.

It would be fun to cluster these things and make a "surplus supercomputer" :-)


> Let me revise that...
> 
> 800
> 600
> 400
> 200...
> 
> Don't worry, it will take a long time for your hardware to 
> reach the $10
> mark. Those 486's just reached the $10 mark in the last year 
> or so. The
> curve kind of tapers off. Kind of like an exponential decay. I'll bet
> that your computer was no where near worth half of what you 
> paid for it
> the year after you bought it. That's when the fastest depreciation
> occurs. At the bottom end you have a kind of compression 
> thing going on
> where old machines aren't exiting the market fast enough, but 
> they won't
> throw them away because of perceived value. So if I have 
> 386's at $20 a
> piece, My 486's start bottoming out at $60, and so on... The biggest
> thing that encourages this is that they have large 
> warehouses, and don't
> mind storing the stuff. 
> 
> Shannon Spurling
> WAN Engineer -Specialist
> 
> MOREnet, Network Services, Core Network
> 3212 LeMone Industrial Blvd.
> Columbia, MO 65201
> 
> Main:(573) 884-7200   Fax:(573)884-6673
> 
> EMAIL:PROTECTED
> EMAIL:PROTECTED
> 
> 
> -----Original Message-----
> From: EMAIL:PROTECTED
> [mailto:EMAIL:PROTECTED] On Behalf Of Spurling,
> Shannon
> Sent: Monday, November 17, 2003 8:09 AM
> To: MLUG Off-Topic Discussion
> Subject: RE: [MLUG - DISCUSSION] Obsolete hardware
> 
> Oh, it's got to be worse than that. More like:
> 12,800
> 3,200
> 800
> 200
> 
> Most computers are "Obsolete" within 3 years, and their price has gone
> down into the $300 and below dollar range by then.
> The $800 P3-700's that sold back in 2000, are now worth less than $200
> now. And the more expensive the hardware, the quicker the price drops.
> It seams almost exponential. The only exception to that rule 
> is Mac and
> other specialized hardware vendors, like SGI, SUN, etc...
> 
> Shannon Spurling
> WAN Engineer -Specialist
> 
> MOREnet, Network Services, Core Network
> 3212 LeMone Industrial Blvd.
> Columbia, MO 65201
> 
> Main:(573) 884-7200   Fax:(573)884-6673
> 
> EMAIL:PROTECTED
> EMAIL:PROTECTED
> 
> 
> -----Original Message-----
> From: EMAIL:PROTECTED
> [mailto:EMAIL:PROTECTED] On Behalf Of Mike Miller
> Sent: Monday, November 17, 2003 2:26 AM
> To: MLUG Off-Topic Discussion
> Subject: Re: [MLUG - DISCUSSION] Obsolete hardware
> 
> On Mon, 17 Nov 2003, Jonathan King wrote:
> 
> > A computer you bought for $12,800 in 1997 depreciates like this:
> >
> > 1997 $12,800
> > 1998 $ 6,400
> > 1999 $ 3,200
> > 2000 $ 1,600
> > 2001 $   800
> > 2002 $   400
> > 2003 $   200
> 
> You know, it's sad but just possibly true!  One sure thing:  Don't buy
> one
> unless you're going to start using it immediately!
> 
> Mike
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