- I see that the Dymec 7A has
been replaced by the 7B.
Does this mean the Dymec 8A is about
to be replaced by the 8B?
-
Unless the vendor is planning to exit the business,
a stream of future models are presumably "on the way".
Indeed, I'd be more concerned if I thought a replacement
product was not on the way.
- Does anybody know anything about it?
-
In general, anyone who really knows will not tell you.
Those who don't know, of course, will be happy to
make guesses for you :-)
- I see that the Crosby RasterJet 100 has a
rebate offer.
Does this mean Crosby is about to dump
the Model 100?
- Rebates often signal an
end-of-life clearance sale
(or a diplomatic move to placate customers who just bought
the old model when the replacement model turns out
to be a more attractive deal). But once a rebate deal has been in
place for more than 90 days, it usually signals a
semi-permanent price change (without having to
actually change the price). Rebates allow vendors
to have region-specific pricing while pretending
to have one world-wide
MSRP.
Rebates also allow very
quick price changes, merely by changing the rebate
terms (or deleting it altogether).
Less charitably, rebates are a selective price
reduction, often excluding volume buyers (schools,
businesses, government, the supplier's own employees,
etc.). Unclaimed rebates also represent windfall profit
from the subtantial percentage of individual end-user
consumers who fail to act during the eligibility
window, loose the essential paperwork
(or in the case of gifts, never receive it),
who fill out the paperwork
incorrectly, and/or fail to follow-up on late payments.
And the payments can be late indeed if the manufacturer
decides they enjoy the use of your money, or just need
to push some accounts payable out a few months to cook
the books.
Be sure to check for complaints in netnews, such as at
http://groups.google.com/advanced_group_search
before buying a product and counting on a rebate. At the
very least check to see that the vendor isn't already in
bankruptcy Chapter 7 or 11 (either of which will legally
prevent them from paying rebates).
If you are nervous
about the brand name, be even more nervous about the
rebate. When I revised this article in January 1999,
resellers were still advertising "net" (after rebate)
prices on Hayes modems, even though the original
Hayes Microcompter Corp. had ceased
operations entirely in late 1998, and hadn't paid rebates
for several months prior to that. Meanwhile, back to the futures...
- I see that the YoyoDyne SlimeJet 3B
rebate is about to expire.
Does this mean YoyoDyne is about to
introduce a replacement?
- That's only one of
several possibilities. Others
are listed below. A rebate offer can expire without
a new product appearing, for several reasons:
- The business conditions that gave rise
to the rebate are now resolved, and the rebate
is no longer economically necessary. This
is often the case when the problem was
excess inventory, particularly excess old
inventory when some engineering change
was in the works, and the old stuff needed
to be sold or re-worked (and the rebate
was cheaper than the rework).
- A new promotional deal will be released
on or just before that date.
- The price-less-rebate is about to become
the new official
MSRP,
as of that date.
- There was supposed to be a replacement
product available on or before that date,
but it is late (or even cancelled).
- The current product is the end of
the line for that product type, and continuing
the rebate late in the life cycle would just
amount to needlessly leaving money on the table.
- Don't overlook the possibility that
nobody's minding the store.
- I was thinking about buying one,
but not if it's nearly obsolete.
- Are you sure you want to wait?
Are you sure you actually want the future device?
Narrative
This article presumes that you have done your "due diligence",
and indeed confirmed that there is no open info on the
conjectured future product. Sources to try include:
Questions like those at the top of this article
are asked often in netnews, and unless:
- the product is being test-marketed or
early-marketed somewhere on the planet, or
- some news leaks to the press (above), or
- there's a rare case of a soon-to-be-ex-employee violating
company policy, or
- an outside consultant or beta tester violates
their non-disclosure agreement...
such questions usually go unanswered ... or get answered with
variations on the theme of this article.
The computer business in general, and the peripherals
business in particular, are highly competitive. Vendors
tightly control futures info in order to avoid the
Osborne Effect. If you've never heard of Osborne,
well, that's the point. In the early days of PCs,
they were a major player in the transportable market
segment. But, they pre-announced a vastly new and
improved machine, which torpedoed sales of the current
model, and sank the company.
All computer hardware currently on store
shelves is obsolete. The only thing that depreciates
faster than computer hardware is fresh fruit.
It is literally the case that the initial build is
the final build for some PC products (including
the PCs themselves).
This may be the wildest technology ride since the
period of fighter aircraft development from 1935
to about 1955, when almost every new model was
obsolete by the time the first full squadron was deployed.
If you have a need for a device, and the current
model can do that job (and it includes software for
the most recent prevailing operating systems),
why wait? Sure, it never hurts to have an idea
of what's coming, but consider...
Waiting "a little longer" can turn into "a lot longer".
Anecdote: In 1995, I was waiting for a certain model of
display monitor
to hit the retail market, having known about it because
OEM customers of the vendor involved were already
shipping it under their own names. It took over
a year from when I first heard about it to when it was
orderable under the maker's brand. In the meantime,
I gave up, and ordered a
different brand (that turned out to have higher resolution
and refresh rates anyway).
If you have only an estimated release date window,
a future product can slip up to a year or more,
or the product could even be cancelled altogether.
Even with a "firm" release date (as with many
Microsoft software products, for example), slips
of months are not uncommon.
I notice that Microsoft seems to be
addressing this problem with their "free
technology upgrade" program. Within a few
month window, there's no risk in buying
the old model. Anecdote: I purchased MS Access
database in 1997, thinking I would be
shipped the latest version - well, it
wasn't (it was Access 95 v7.0), but I
got a "free" (shipping cost) upgrade to
Access 97.
If you are going to make a peripheral purchase
decision based on futures info, you also need much
more technical product detail. You really need a
final, committed, detailed data sheet and
MSRP.
For example:
- Price:
Will the replacement be priced above
or below the current model?
When you are looking at a low-end device, the
replacement usually must match or beat the
old price. With a mid-range or high-end device,
the competitive pressure may be on features,
and not price.
- Old Features:
Will the feature set be a complete superset,
or will the replacement drop some capability
of interest to you that the current model has?
(as the HP ScanJet 5P dropped legal size vs. the 4P)
- New Features:
Will any additional features or capabilities
be useful to you, or just overkill (for you)
that you really didn't need to pay for?
(If the newer model PC has a CD-RW
instead of a plain CD-ROM drive , it will add
to the price, but if you already have a DVD±RW,
you probably would rather not pay the extra $200.)
- Risk:
If the replacement is a major design overhaul,
will that mean that the software, firmware,
and possibly even hardware is initially less
reliable than the current model?
I often prefer to buy technologies that have
been on the market for a year or so, because
they tend to be more stable. Anecdote: On HP ScanJets
for example, I like to buy the second generation
of new designs. I skipped the originals and got
a IIp, skipped the IIc and got a IIcx, skipped
the 3C and got a 4C.
- Connection:
Will the replacement device still use the same
I/O interface, or will it use some newer interface,
like USB 2.0 or IEEE-1394B FireWire, that you may not
have on your PC, or that may commit you to
expending a PCI slot and
upgrading your operating system?
- I/O Card:
If the current product includes an interface card,
will the replacement still do so? It is common for
multi-port devices to include no
interface cards, on the argument that the supplier
"wouldn't know which one to give you",
but in fact to cut costs.
- Software Bundle:
Will the bundled software change? Will the
new bundle be a more or less compatible with
your needs? Is the new GUI even more dumbed-down
than the old one? Will the bundled 3rd-party
apps still be the same. Will they be upgradable
to "full" versions? How much spamware, spyware
shovelware and general annoyware with the new
bundle sneak onto your machine?
- Opsys:
Will the replacement device be supported in your
environment? If you're on Windows 3.1 or NT3.x,
fuggedaboutit. Many recent devices also no longer support
Windows 95 and NT 4, and Windows 98 &, ME and 2000 will
soon face the knife.
I don't know the answers to these questions,
and even if you did, it is possible for them
to change at any time up to first shipments.
More Futures Anecdotes
When I bought my CDR (an HP 4020i),
HP had a $200 rebate deal going,
which often (but not always) signals
that current model is being replaced.
Also, the 4020i was based on an older
4x2 Philips drive, and it was widely
known that Philips had a newer 6x2 drive,
which we might have expected HP to moving to.
Despite that, I bought the 4020i,
in order to get a stable design that did
my job at a price that was acceptable.
It also later turned out that whereas the 4020i
would do DAE (Digital Audio Extraction),
the 6020 would not. Even if I'd had a full
data sheet on the 6020 "future", HP wasn't then
documenting whether or not their CDRs supported DAE,
so only by waiting for actual user reports
could I have learned that.
Even though Intel CPU moves are well known
ahead of time, I bought a P5-133 PC the same day
the clone maker announced their 166 and 200 MHz machines,
because I knew that the 133 motherboard and BIOS
was stable, and suspected the 133 price would drop
nicely that day (and it did). I did the same again when
the Pentium-II 300s came out (buying a freshly
price-reduced 266), and getting a 1.0GHz Athon
when the 1.1's arrived. I expect to buy an AMD "29xx" when
the first "30xx" comes out. If you insist on having the
very fastest processor, on the first day that
it is available, you can expect to pay a steep
premium, but then you knew that, right?
And sometimes I wait... Back when I was using a 300 dpi
LaserJet-IIID, and the first 600 dpi engines came out,
I decided that I would not give up duplexing just to
get 600 dpi. When the LaserJet 4/4M arrived, it offered
no duplexer (even though the underlying Canon engine
could support one). Then the 4+/4M+ arrived, with an
announcement of planned duplexing - an officially
promised future product.
I still waited. As I recall, it took nearly
a year for that duplexer to finally start shipping,
and I didn't order a 4M+ until the duplexer did ship.
In the fast-moving printer industry, the base product
can go obsolete before a late/slipped accessory
makes it out the door.
Conclusion
I follow computer technology, and find I
can often predict when a new product will appear,
and what its feature set and price are likely to be.
Nonetheless, I rarely "chase technology" or try to
be the first on the block with the latest and greatest.
Waiting for futures can be very frustrating. Placing
early bets can be counter-productive.
I prefer instead to buy stuff that is actually in stock
(or at least shippable),
and that already supports creating the results I
desire with the other hardware and software
bits I already own (and with minimum
support headaches).
Look to your results.
The vendors probably don't like this philosophy.
As a buyer, you need to give it some thought.
So by all means go looking for futures info, but
do so on the presumption that what you learn,
more often than not,
will merely support you in making an informed
decision to buy the current product.
MSRP:
Manufacturer's Suggested Retail Price
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