1997 08 canadian computer wholesaler

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Catch TheHighlights:N!'>t"+~' <'44p'~~""'- Network Coropetii u, bdobitity,Wtod©iod VideoI......:.....,... 11

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By GraceCasselman

Marketing OnAShoestring .......

By Cathy Cotvan

EYEONTHEINDUSTRY

TECH NOLOGY

MonitorMakersTarget Niches

........,57

Clone CPUsChallengeIntel AtBothEnds..,.....

By David Tanaka

By Alan Zisman

RETAIUN GTRENDS What's in StoreForStores...„......„...,....,...............,. . By David Rosen

THEPUNDIT 58

ForSome,TheChannel IsNot Working—But Why'?....

By GraemeBennett

NETWOR KING Networking —TheMarket Is NowEverywhere....

BUSINES SBASICS Use InternalFinancingToYour Advantage ......

By JegEvans

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WHY NOT D EAL W IT H T H E B I GGEST) Buying parts the usualway?No-name brands of no known origin. No assurancesof reliability or compatibility. No support. That's no way

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E DIT O R ' S D E S K

Computing With Barney?

The sight was more than a little unusual when Microsoft Corp. vicepresident Frank Clegg, amidst th e e x pected Office 97 and Windows CE themes in his Comdex/Canada keynote address, suddenly pulled out a stuffed toy, and plugged it into his on-stage PC. (See our round-up on Comdex/Canada, page 14.)

Then, Clegg covered the toy's eyes, and the little creature exclaimed: "It's dark in here!" Clegg removed his hand, and the fuzzy beast said: "Oh, there you are!"

Quiet murmurs filled the auditorium, as people whispered: "Is that a joke? Is this for real?"

But indeed it's true. If Microsoft has its way, the next generation of computing accessories will include stuffed animals, ostensibly for the more youthful among the computing audience.

In this case, the toy was none other than that cuddling purple dinosaur everyone either loves to love, or loves to hateBarney. While the creature has a certain amount of functionality in its stand-alone mode, it claims an impressive 14,000-word vocabulary when plugged into the computer. Microsoft's ActiMates Barney will work along with special CD-ROMs f r om Microsoft, with a stated goal to enhance a child's learning experience. Barney should be in stores by Christmas, with pricing (not finalized at press time) hitting somewhere between $125 to $150.

This wasn't the only warm and fuzzy from Microsoft at Comdex. The company t ook the opportunity to roll out (i n a Canadian-only effort) an annual awards program for quality in software retailingcalled the M i crosoft Canada Galileo Awards for Leadership in the Art and Science of Software Retailing. Kudos go to Microsoft Canada for initiative and a professeddesire to raise the bar on software retailing in Canada. Microsoft says the award is meant to recognize software retailing in general, not specifically in regardsto its own products,and a panel of judges will decide on next year's winners.

The trick now will be for Microsoft to get sufficient momentum behind the awardsnot only to encourage nominations, but to make the prize sufficiently coveted that it will motivate retailers to greater efforts on the software retailing front. (For more 6

information, see http: //www.microsoft. corn/canada/partners/galileo.htm.)

Among the speakers at the black-tie gala event held to kick off the awards was John Torella, an industry analyst with the J.C. Williams Group, in Toronto. He told the assembled audience: "The graveyard is filled with retailers who didn't keep pace with the changing consumer."

Whether a retailer wants to be the hottest, the biggest or the easiest to get along with — you have to be best at something, he said.

He pointed to food retailer Loblaws as an excellent example of a retailer that has combined service and self-service, and has raised its store brand President's Choice into direct competition with "name-brand" products.

Partofitssuccess,he said,comes from combining value with more elite-type offerings. "People want to skimp on the basics, but splurge on the shrimp."

And today, he said that food chain is already thinking ahead about what may be next in retailing, such as robots, Internet shopping or smart cards.

From available parking to in-store decor, Torella said customers need to feel a store is "sympathetic" to them. The store needs to provide a "constantround of value," to the customer, even after a purchase — "reinforcingyou've made a good choice."

This issue, be sure to check out our update on the latest trends in retailing, in "What'sInStore For Stores," page 24.

Also this issue, Associate Editor Jeff Evans does an in-depth examination of the latest trends, products and opportunities in networking. Please see, "Networking The Market Is Now Everywltere," page 26.

And Dan McLean examines issues and products in Point-Of-Sale software, in "Point-Of-Sale Targets Huge Range Of Retailers," page 46.

According to Microsoft, Barney has been called the "Elvis of the pre-school set." So, here's something to look forward to: the demo model of ActiMates Barney in your stores this Christmas — singing one of his 17 songs, including the ever-popular "Head, Shoulders, Knees and Toes" and his signature hit - "I Love You." Seasons greetings. ICCW I

olssaler P.' Publisher Douglas Alder Associate Publiohero Judy Prange Hari Singh Khalsa Editor Grace Casselman (gracecOnetcom.ca) Associate Editor Jeff Evans (jeff@tcpon.corn) ContributingWriters Graeme Benneit Tim Bingham-Wallis Jazz Bhooi =::-, ':; -;~!,~~ ': Sean Guruthers Cathy Cawan Douglas Gray Steve Halinda Stephen Ibaraki Dan McLean

David Rosen Greg Rubidge David Tanaka Alan Zisman Production Staff Sherly Ho Korin Hartwlg

Key Account Manager(East) Tino Wong

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(tino@tcpon.corn)

.ffeypcount Manager(Westj Jamie Loighton (jamie@tcp.ca) i ' Account Managers Marsha Miller

(marshal tcpon.corn) Frank Houston (frank@tcpon.corn) Controller Christine McPhie Accounting Farida Aini Circulation Scott Rice Esther Palivoda Foundeio Kent Liqin Chen Li Ding

Canadian Computer Wholesaler is published 12 times a year by Canada Computer Paper Inc. Toronto Oiice Suite 408 - 99 Atlantic Ave. Toronto. Ont. Canada M6K 3J8 Tet: (416) 535-8404 Fax: (4t61 588-8574

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made in writing eire of the ahsveiddreuea Free subscription to qualified individuals, olio per yearfor nonqualified subscribers.

Contents ofcanadian compuur tvkokgykt'oilgN:t to eopsdoht.

Material and advenising deugncdbycandian computer wholesaler in this pubncaoos may aot bc mproduced in any farm without permission. All riche reserved. The opinions cxpressod in uncles we not necasasrily aase Of thepublisher.

Printsincanada,.@",-. ,', ~,"-

Grace Casselinan Editor

CA N A DIAN COMPUTER WHOLESALER August 1997 hn p/twwwccwmag.corn

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L ETT E R S T O T H E E D I T O R

Comdex age restriction fltngfed

Age policy ls ggnfalr

I I'cccntlywas rcadlng lhc lalcsl Issue of CCW when I learned that Comdex placed a age restriction on its show. I can't undersland why Comdex would do such a thing. What's the difference if there are a fcw people who are not "IIuaiil ted lo make a buying decision"."

The age limil use to bc l6, however the Comdex spokespersonsays that (lhe show) wanted "no kids," Do you really believe that people at the agc of l6 are still kidsy In IO years they could possibly be making some major purchasing decisions, however if they arcn'1 allowed in now they could easily vvithhold from the event when lhey have the chanceto"make a buying decision."

I hope the people who made thc decision aboui the age rulc gel a talking to from their

This Is totally unfair that Comdex/Canada now has a policy that will bar auendees of less than 2I years.

I was) 7 when I got my llrst CidE cerlifllcate. I passed with flying colors. I am recently employed by V-Com computers — one of the biggest computer retailer in Vancouver, BC, We mainly aim at corporate buyers. I repair and maintain networks I'or a few big companies — for example, the University Of Brilish Columbia. WIC Communications for BCTV, University of Victoria and Simon Fraser University.

Justbecause someone is the age of l7 shoulldn't mean thai they are not allowed to go to computer shows to leam more about their choice of career. I am 22 and I attend almost all Comdex shows for information.

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Trlmegc Iwerketing seeks sales people for eastern Canada As a well-established distributor ol' cotnputcr accessories, peripherals, and supplies. TMI is looking to I'urthcr IMnetratc thc Fwstcrn Canadian market.

The company is currently looking 1'or agcntsttrepresentativcs with expertise in greater Toronlo, eastern Ontario. Quebec, and th» Mafltlnlc provinces.

If you feel you have tile light tlu;Ililfcations

and skills, p)canc fax your rcsunlc with cltvcring loner tlx Trintcx Marketing Inc. nl (6O4) 272I8615, Altention: Jonathmn Way. Iuuionul sales manager. (No ph<tne calls please,) We welcome your letters on industry issues

and concerns, as wellasyourcomments on Simon Wong our magazine. We reserfre the right te editor

Todd Mansheld Owner,SpyderByte Computers

your coatrihutions ler lenttth and cia~.

Please write to The Editor, tsa E-mail at ccwfltcp.ca, or hfx: iNNJ gN4NR

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The initiative i s b u il t a r ound t he FlashPix image file format and the Internet imaging protocol, said the company. Although the company didn't specifically detail planned technological enhancements, the stated goal I ACP of the initiative is to "address several prob(804) 276-2&11 hnpttwwvescp. catecp/ Hewlett-Packard outlines lems in today's Web-based imaging, (includstnan Advanced imaging strategy in NYC ing) delays in Internet image download, poor Indush les Ltd. (905) 501-8375 http/iwwwangeicomputercom In a New York presentation to customers and print quality of Web images, and lack of Canadian Iuotebook Solution industry players, Hewlett-Packard Co. for- image detail available via the Internet."

(604) 8784518 ht t pghwwvcns-nomhookcotn "Internet Imaging mally announced its Richard Belluzzo, executive vice-presiComtronic 1-800-297-5505 hap//www.comfronic.ce Initiative" — bringing together a range of dentand generalmanager, forHP's Computer DCI technologies, partnerships and strategies, and Organization, said: "Images have been impor(508) 470-3870 http J /wwweoioxpaeoni".'::"'6) publicly committing to enhancing the quality tant throughout history of mankind. Images Diq Components 1-888-294-7130 httpt t wwwpemom.eom and usefulness of images on-line. play a central role in how people express Empac Computer Corp. themselves and communicate."

(905) 940-3600 httpdtvrwwempac,cs HP and PictureVision Inc. announced bapaq Technology Inc. (604) 261-1800 a plan to e xpand the functionality of ingram INicro PictureVision's PhotoNet — an imaging ", 1'r&00-8980450 http /twwwingrsmmicrace infrastructure that lets photo finishers offer r Pimp customers the opportunity to view and share 14) 620-9&05 un r KDS photographs on the Web. t-888-KGS-9001 hgpt t www tdsesnada,ee HP and PhotoDisc Inc. (pending negotiaLepra INarbodng tion of a formal contract) say they will co-devel(804) 244-7798 - hupt/wwvotapro.corn op an on-line resource, providing high-resoluLCII Resources Inc. (604) 278-0708 tion digital images for use by small office and Electronics home office customers."Our hope is that with hnpJ vae@geus.corn (905) 670-0650 this new on-line resource, any business profesLinkup Technology 1-888-2184868 hnpJ/rvww.hn top.on.w "@ "It was more a statement of direction sional will be able to easily incorporate highLogic Dox Distribution than anything else," commented Alexis quality image material into both print and elec(905) 405-1541 7ntp t /wwot tot(tabor.conlaq Gerard, publisher ofThe Future Image tronicprojects on the fl y," said Mark Torrance, 1 %Isotronic Corporation (90S) 305dl&68 Report, in Burlingame, Calif. He said the CEO of Seattle-based PhotoDisc, in a statement. srlsel ' company is pushing the idea that however This fall, HP says it will launch the HP I-800-MERI&EL ~ < vt ap ~ n sei ca people may choose to connect to the Internet, DeskJet 670TV printer — aimed at Internet Mitsubitshi I-800-450-MITS htt p J/wwvrmitsuNshi earn, they should be able to work with "high-quali- appliances such as the WebTV, priced between ty photographic images."

US$150 and US$250. The idea, according to httpJ/www mrgrmtrcom According to HP, the joint effort will give the company, is that WebTV users will be able Dkidats 1-888-232-8530 ht tp;/twww otideta. consumers "more flexibility" in how they to print E-mail, news, information, and corn/vers Pinnacle Computem upload, download and manipulate images" on coupons, for example. A HP technology called 1-905-278-2948 their PCs. (HP says users will also be able to Smar(Focus will enhance resolution.

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CanadianComputerItltholeseler welcomesyour opinions on current issues in themarket, plus yourfeedbackon our publication.

Pleasewrite: The Editor; CanadianComputer Wholesaler 408 - 99 Atlantic Ave., Toronto, Ontario M6K 3J8 Fax: (416)588-8574 E-mail: cow@top.ce

Editor: GraceCasse)men Call: (403) 262-7890 Fax: (403) 262-7892 E-mail:graceconetcom.ca

We welcomeyour ideasregarding news and feature topics forCanadian Computer Ititholesgler. Associ ateEditor:JeffEvans Feel free to contact the editors directly with your Call: (416) 535-8404 suggestions.

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4 . c cwmag.corn August 1997 CANADIAN COMPUTER WHOLESALER 9

I NDU S T R Y F L A S H

Apple Computer president Gil Amelio resigns On July 9. in a sudden departure that bodes ill for struggling Apple Computer Inc., Apple president and CEO Oil Ameho left the company, without a permanent successor having first been located. Apple cofounder Steve Jobs, who had recently resumed a close connection with the company upon selling his NeXT operating system to Apple, is reputed to be taking a more active role in product development and business to business relalions, at least in the interim.

Amelio. who was promoted froin Apple's board of directors to the CEO position as a would-be miracle worker. succeeded in bringing about an impressive turnaround at troubled National Semiconductor inc. prior to taking over Apple. tg months ago. However„he was unable to work the same magic on the Cupertino. Calif.-based Macintosh computer maker.

Apple has lost more than US$l.6 billion in the last two years. with every recent quarter but one posting substantial losses. Speculation I'ocused on the possible trigger for his sudden departure suggestsa largerthan expected loss forA pple's current quarter.The comp«ny's sales are estimated to have shrunk from US$1 I. l billion in l995 to an expected US$8.$ billion this year, and the Apple Mac's global market share has declined I'rom around five per cent to a little over three per cent during the same period.

Amelio can be credited witll taking a number of necessary short-term economy me«sures at Apple. such as laying off staff. cutting unprofitable products and reducing inventories, but it would seem that he failed io solve Apple's fundamental problems.

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(NB) — The patent dispute between Digital Equipment Corp. and Intel Corp. is totally separate from the supplier-customer relationship between the two companies, and will not affect Digital's personal computer business, according to Jim Nolan. head of Digital's personalcomputer business in Canada.

At the ComdexlC«nada trade show in Toronto, Nolan said that Digital has agreements in place with Intel that will protect its access to Pentium chips from the company it has charged with misappropriating chip technology that Digital developed for its Alpha processors. Digital as access to continued supp lies o f In t e l chips has been in dispute, with officials of Intel contradicting Digital's assertions that contracts between the firms ensure a continued chip supply to Digital's personal computer unit.

"Yes, we' re pursuing Intel, no question about it," Nolan said, "but another level of thc relationship is the supplierrelationship."

He mentioned that Digital also sells goods to intel.

IBM unveils Network PC during Comdex/Canada tradeshow

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Rodney Adkins.the vice-president and general manager of client systems of the IBM Personal Computer Co. unveiled Big Blue's latest computing platform: a new generation of Network PC which promises to offer corporate customers full W indows multimedia computing capabilities, while simplifying the managementof networked PCs. The new computer is basically a Windows PC in a slim 'scalable" case, with a budt-m network interface, and without a floppy drive or CD drive. This model of computer can be connected to a network by simply con necting it to any free network cable, turning it on, andinpuuing a few items of userinformation. The new user's information will appear on the network administmtor's screen, and af'ter veriRcauon, the computer is added to the network. By simphfying the network administrator's tasks. and allowing less opportunity for user-generated damage, the new Network PCs arehoped to offersavings in the orderof 10 to ll5 per cent in running costs, although the Network PC hardware will cost about the same as a regular PC, Adkins says. =

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Corp. initiatives are in: network computing Samtack celebrates eight years clusters, server hardware and software, NCs Samtack Computers, a major Canadian PC and client software, video and audio com- manufacturer and distributor, celebrated its munications products, and, network integra- eighth anniversary on June 13 with an open tion, involving Corel and third-party softhouseattended by hundreds ofCanadian corn w are productssuch as file and print ser- puter industry professionals. In the last year vices, E-mail c o llaboration, electronic and a half, according to Samtack marketing forms andJava-based productivity software. manager Robert Chin, the company has Corel Computer Corp. intends to roll grown "phenomenally," posting over $100 out limited numbers of its new products, million in sales so far in 1997. such as the V i deo Network Computer Samtack makes the Pine PC and (VNC), by the end of 1997, and expects to Samtack computer lines, which are sold see substantial sales in 1998, according to through over 3,000 resellers across the coun Eid. The VNC is a thin client device, based try. In addition to finished PCs, Samtack also on a Strong ARM RISC processor, which is distributes multimedia components such as optimized for running software written in CD-ROM drives and sound cards, as well as Java. It will also run Windows applications hard drives and monitors. During the open in an emulation mode. Corel sees the market house that was a part of the eighth anniversary for Network Computer systems, composed of celebrations, visitors were able to tour the servers, thin clients, assembly, quality control and Java software, and distribution facilities growing explosively in the main plant in from 1998 onwards, Markham, Ont. •u to the point where, in For more informa s everal years, N C tion, see h ttp: //www pinegroup.corn or call sales may surpass PC sales, said Eid. (905) 940-1880. IL'N

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By Jeg Evans a»d Grace Casse/»ta» Mobility, networking and a big "The retail industry is under strong pressure," commented Frank emphasis on visual computing Clegg, Microsoft Corp. vice-president, explaining the awards are were major tile mes at the intended to "get people to think about retailing and doing a better job sr Comdex/Canada '97 tradeshow in Canada. We think it will be rewarding for everyone." held at the Metmpolitan Toronto To kick olf the hutiative, a life-time achievement award was given to Convention Centre from July 9- IHarry Hart, president and CEO of Hartco Enterprises Inc. The computer I I. The show featured more than division of his company, founded in 1976, now has more than I50 loca600 exhibitors, with hundreds of tions, under such names as MicroAge, Compucentre and CompLsmayt. products being shown pubhcly in Celestica Teanms %8th Keating Canada for the Brst time to an expected 60,000 attendees.

The main new themes at the show included: networking technology At Comdex. Toronto-based memory manufacturer Celestica announced an and network-friendly personal computing devices: mcreased performance agtcememt with manufacturer's representative Keating Technologies Inc, Keating wiilll provide sales, marketing and technical support serand conncctivity in mobile computing devices; the further expansion of the Windows OS into new applications at every level of computing from ving for Cclestica's memory products in Canada. While Celestica has enterpris e serversio hamdhcld PCs;and a new wave ofdigitalvideo prod- been making an international push for its products, this move is designed to help build the company's presence at home. Ray LeBlanc, Celestica's ucts heading up a general advance in graphics price/performance.

One common topic of idle cliatter at the show was the subject of vice-president, memory sales and marketing, said Keating is expected lo who didn't show up this year: the traditional Big Tltree of personal help develop the market in Canada "to give some advantage in this volatile market-place." computing, IBM, Apple and Cormpaq were all official no-shows. ''What Ray's looking at is total market management. They' ve got to have Canadian sales be strong. Keating has a strong Canadian presNotebook HeaNen The notebook market is shaping up to be very compet- ence, and our chanmel relationships are already intact and ready to go," itive in l998, based on the olferings shown this year. said Sharon Spring. vice-president of marketing for Keating.

For Keating, this relationship with a Toshiba's booth was busy, with crowds marveling at the notebook market leader's newest entry, the ultra Canadian company is unique, as traditionaltiny (around two pounds) Libretto PC, as well as ly Kcating's clients are American companies the latest Vectm and other notebook models. looking for help breaking into Canada.

Canadiannotebook maker Eurocom Acer Signs With Merlsel was showing its new 266MHz Pentium II model. which thc company claims is the fastest And Acer America Corp„ in Mississauga, Ont., signed a fourth distributor Tar ra530CtiT notebook on the market.

Merisei Canada Inc. Merisel will be Handheld computers were strongly in evidence, with the distributing Texas Instruments U.S. Robotics Palm Pilot Pro continuing to create excitement Extcnsa and TraveMate moteamong all levels of users (at Comdcx/Canada numerous people book computers, AcerEntra amd A r ,eh NrrNriadr4teady PC were observed actually walking around using Palin Pilotsl.

AcerPower commercial desktop PCs, and Acer Altos servers.

Philips showed its innovative Velo Windows CE handheld, Merisel joins Tech Data Canada, Globelle and EMJ as featuring a high speed chipset, voice dictation recorder Acer's Canadian distributors, and i9.2Kbps modem. LG Electronics also had a nicely According to Anthony Lin, Canadian general manager for feaiuredl CE unit with built-in modem, for $699.

Acer, the company's focus this year has shifted strongly to the corporate/business market, away from retail-oriented product.

Software Retailing Award Microsoft Canada Inc., in a Canadian-only initiative, launched the first annual Microsoft Canada Galileo Awards for leadership in the Art and Yhe Slg Picture Science of Software Retailing, at a black-tie function in downtown There were a lot of luscious computer graphics and video eye candy fiIIToronto, during Comdex. The first awards wil'I be given out during ingin the edges of the show. NEC, Mistubishi, amd Fujitsu were all showComdex/Canada '98, based om a variety of retailing criteria. Microsoft ing 40-inch class flat screen plasma monitors. Dave Walsh, head of NEC says the awards will be decided lby a panel of judges, and the retailers Canadla, pointed to a NEC 20-inch LCD color panel, and noted that don't necessarily have to sell Microsoft product, Nominations will be while a 14-inch flat, screen cost $13,000 two years ago, it now costs made by customers, and Microsoft plans a significant marketing cam- less than $3,000. As demand and production increase, he said, the factories producing today's exotic flat screens will be able to bring flat paign to encourage nominations.

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C OM D E X screen monitor prices close to the level of traditional cathode ray tube (CRT) monitor prices. According to NEC studies. about t"I per cent of monitor buyers kvould choose flat screen monitors if theprice was no more than 50 per cent above the price of a CRT monitor. This indicates a large potential market for flat screens as prices continue to decline.

One of the most original monitors on view was Princeton'B (COMonitor the Princeton Graphics System Arcadia home monitor. a 29-inch (27-inch diagonal viewable) so-called 'convergence' monitor. The Arcadia can handle both TV (composite NTSC) «nd computer (up to 60Hz PC or Mac video output) imagery. It's intended to facilitate using the family TV for surfing the Internet or playing video games, The most surprising detail was the Arcadia's price: US$999, or about $1.370. A 31-inch model is also available. MAG lnnovision also displayed new monitors, including its DJ530, with the innovative JAG wheel control, Bvhich makes selecting monitor display options a breeze, Toronto' s Digital Processing Systems showed its Spark direct DV editing product, a Mac or PC FireWire card that allows users to bring video data by cable from a digital camcorder tn their computer; modify, edit and add efl'ects to video sequences, and then transfer the edited video back to the camcorder to be recorded onto digital video tape. There are two obvious advantages to the FireWire approach: one, using all-digital media to avoid the generational loss involved in converting video from digital to analog, and two, the ability to use digital video tape as a practically infinite storage medium.

New graphicssoftware was rather scarce, but Adobe showed its recently released version of the Illustrator program to substantial crowds.For garners, a new wituless 3D joystick from Techmedia employs infrared and ultrasonic sensing to allow users to, for example, aim and fire naturally.

For mobile digital video creation, Hitachi showed its miniature MP =EGIA camera, which can create up to 20 minutes of full motion video and audio, or 3,000 still images. The EPBonPttotoPC50D MP-EG I A can save motion video or still images in MPEG-1, JPEG, or JPEG with Audio formats.

Digital cameras were everywhere «t the show, from a dizzying array of vendors, including Agfa, Epson, Casio, Sony and Minolta.

With prices ranging as low as $370, and with a new 4~ gener at i on of high-resolution 'megapixel,' cameras hiuing the market — the digital camera market seems destined to continue to take off.

Some highly innovative new color printers were in evidence at the show. At less than $200, son Qj +( Lexinark's model I 000 Color JetPrinter gives highStill Camera speed, 600 dpi black-and-white or full color text and OSC-Pt g r a p hics to Windows PC users. At that price, the Lexmark 1.000 would seem to conform to the consumer marketing tnodel which sees personal ink-jets as 'seed units' for encouragingsalesofink cartridges and paper,which iswhere the profit opportunity lies for manufacturers and resellers. For the graphics professional, Epson debuted a new 1,440 by 720 dpi oversized (17-inch by 22-inch) color ink-jet printerthe Epson Stylus Color 3000. The Stylus Color 3000 is more than twice as fast as Epson's previous large format ink-jet — the Color Stylus Pro Xl and comes with a true PostScript ~ Q LB('~ Level 2 PowerRIP froin Birmy G raphics. It i s b o t h M a c and Windows compatible. For the networked oflice, Xerox showed its latest DocuPrint C55 color laser printers„a new line which radically lowers the cost of high-speed color laser printing, in terms of hardware cost, materials, and service and maintenance.

Imation showed a Performance Accelerator for the LS-120 120MB floppy drive which gives performance comparable in speed to a hard drive, and HP demonstrated tape backup systems for enterprise networks.

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Whither Comdex?

The absence of some of the major PC vendors did lead to speculation that Comdex might be facing future troubles, due to an oversaturated North American computer show calendar. While manufacturers and distributors are certainly more cautious in spending their limited marketing dollars, the scale of exhibitor and attendee interest in the show would seem to argue against any immediate decline in Comdex.

And spendinga couple ofdays walking the fl oorata Comdex show is the quickest and most eSicient way for reselleis and business end-users to get a clear picture of the latest and best technology available.

Comdex/Canada '97 was an excellent preview of the hot trends and products in the computer industry for therestof 1997 and on into 199S. 1(SI

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Jag Evans is Associate Errhtor of Canadian Computer Wholesaler anti can be reached atjegCmtcpon.corn.Editor Grace Casselman cattbe reached at gracectainetconi.ca

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Even as ihc Window»/intel=based PC has reached a»tate ol' apparently invincible superiority in the cmnputing industry. some major manuiacuircrs are bc(ting on a non%intel alternative t» hccomc thc computing lnaln»trcal11 II'1 thc Itext decade. Al thc recent

tcr, and more compatibly and Ilcxibly.'

However, il Gates is investing personal tinlc and energy tn dissing the budding competition from Java, this can be interpreted as a good sign that he takes thc threat seriously. In fact, Micro»olt i» playing a dnuble game regarding the NC/PC and Java/Windows controversies. Microsoft makes some of the principal developers' tools I'nr Java snAware creation, «nd at the recent Comdex/Canada*97 show in Toronto, some senior Microsoft Canada people strongly disagreed with suggestions that Micro»o(l wa» uninterested in the Java market.

A senior Cnrel executive claimed that a recent Micro»nl't purchase of a small Java bu»incus software development Iirm was part of a Microsoft plan to have a Javabusine»s soltwarc suite ready il the NC market actually begins to take ol'I; echoing a claim by Dale Burger ol' International Data Corp, (Canada) launch of OI'iiclcg in Nl w Yoi'k, thl rciil focu»i Ltd. that Gates is covering his bets in the NC was on ihc Network Computer (NC) a» a lnafkcl by quietly dcvcloptng Java pmducts solution fnr big business's computing neetL». in-house, Oracle's CEO Larry Ellisnn»hn1vcd. in hands-nn demonstrations„ the advantages ol The NC Cetg Real server/NC solutions in terms ol' simplicity Early vcr»ions ol NCs werc on display. showand reliability. On stage in fmnt of a live ing a variety of third-party hardware and softaudience, Itc assembled a network literally ware devices approved b y N e t work 'out-of-t hc-hox,'caused a fatal 'cra»h' nf a Computer lnc.

Schlumberger announced at New York Windows PC (by dropping it ofl a platform amidst snu1ke and (lames). and showed how that it would be the lirst smart card manufacall his data was still safe on the NC alterna- turer approved I'or the NC market. With an a usercan simply insert his or hcr tive. He demonstrated the coinplete compati- N C Card, bility of Windnws and Java application»„by authorized card into the smart card slot on an running Windows in emulation on an NC, and NC, and type in a personal identification transferring Microsoft Word Iile» around eas- number (PIN), in a way similar to using an ily trom PC tn NC. autoinated teller machine. The user can then Whenever Microsoft's Bill Gates has accesshis or her account on the network been asked about the potential of Net1vork server, and retrieve, work with and save perComputers (NCs) versus the PC at recent sonal files. publicevents,he has made a I'ace and asked The solar( curd approach provides a reahis questioner how many NCs are being sold sonably secure, simple method to offer peocompared to PC». and why would users want ple a "network passport,'" which will allow to run additional platforms to Windows, any- them to usc any NC on the network as a full way') Up front.Gates slags the NCJ3ava function personal workstation. Schtumberger model of computing unmercifull'y. pouring has also announced its intention to license the scon1 on ii as a dcltcicnt technology: 'not Java Virtual Machine technology in iL» Solo ready,' 'ton sln1v,' 'Windows does it all. bct- smart card product, to encourage worldwide 18

CA NADIAN COMPUTER WHOLESALER August 1997 lmsc// i~ivw.ccicmag.corn

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To facilitate the quick development of NC technology standards. Oracle and Nctscape merged their Network Computer and Navio divisions. respectively. The neiv company. named NCI, has the capability of developing standards-bas«d NC software and nciv -Internet appliance" hardivarc. HDS Nctwofk Systcnls I Inc. has launched its C4'WorkStatian. an ultra-thin client

per cent ol' Ihc netw ark computer m irket in that year.

Masks Off, Gloves Off Whjit seems ta W gning nn undeln«ath al I the posturing taking pla«e at th» daivn ol' thc NC is that most sensible players in the industry have decided they' re quite ivillin ts> mak« money olT ciih«r the Windows/Intel platform.

ar thc NC/Java platform, Gates dacsn'I gain any immediate benefit lrom a«tiv»ly promoting the NC ar Jjrvjj. sa hc doccsn't promot» it.

His propri etary Windows familyof operating

sysu Bls andassn«rated IIPPII«c'Itiani saltwcirc ii em>rnlouslypraBtablc. «a he has nothingto gain by suppoftincs;I »ac>lit>onal I'll« fivals who are explicitly Pushin J ava ai a Mi«rasoft-killer. or at l«ast. a I'uncr.

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that if someone create«a worthwhile solbvare product category or market. hc' ll direct Microsoft ta build or buy th«pn>du»ts to guin a dominant paiition in that new market.

Micro«al't *s competitors ar« in many cases developing hath Java and Windows products.

Oracle,forinstan«e,hasannounced Javcl aPPlicatians server« I'or Windows NT. IBM is merrily building bath thin «lieut network computers (which run Java, Windows and mainframe terminal software), and lowcost Network PCi. So: ivho will lvin7 Well. it th» result of the birth af die NC is cheap. Actwarked romthcti can nln cithcf Java or Windowi puiing made available to millions al ncw applications over a users. then everybody ivins. including Bill n etwork us i n g Gut«i,The Microsoft marketing machine has currently ligurcd out haiv to extract money about o n c-tenth very «fficiently t'ronl billions of PC users. It the bandwidth ot a Windows PC. can prabably even figure out how to do the according 0> HDS. same withvolumes of NC users,ifever canfronted ivith thatproblem.

All this effort has generated some real sales. Tektranix. basing its claim on an IDC study, claimed that it sold more than 70.000 Jejf Evans is Associate Erliloe r>f Canadian

X-terminals, netstations and network computers in I 996.. ivhich represented about 'Z7 h up: /Svww. cnvmag, cpm

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New Generations of Flat Panels Arrive While 14-inch cathode ray tube moni(or» are nearly extinct, many vendors are offering Ilia( panel LCDs of dtat size, and larger.

Samsullg Electronics Canada lnc. introduced iL» 400TFT and 500 TFT (14- and 15.1inch screens, diagonally) models at the

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These have suggested retail price» of $4.499 and 07,599 fc»pectively.

Princeton Graphic Systems al»o introduced two models at the show, thc LD50 and LD50A, both with 13.8-inch viewah)c area».

Like the Sam»ung units, these arc also pricey ($3,599 to $4,175 for ihc L D s eries).

Prmceton, spokesperson Dcbra Zimmerman says»hcdoc»n'(see these becoming compcti(ivc with CRT-based monitors in the consumer market until the prices drop to about 1.5 times the cost of an equivalent-sized tube.

However, specialized markets do exist todayforthese device»,according tn Richard Gallegos. Sceptre Technologies Inc.'s Canadian distribution manager. %herc heat. physical size or»u»ceptibility io electromagnetic radiation are bigger factors than price — tlat panel displays are being snapped up, accordmg to Galiegos. Sceptre introduced ILs fifth-generation FT15G at the show. It has an estimated street price of $3,500. It measures 14.6-inch inches diagonally, weighs 12.8 pounds and i» designed so (hat it can be popped out o(' the stand and hung on a wall.

NEC Technologie» Canada also recently introduced two LCD monitors under iis MultiSync LCD brand, including ihc MuliisyncLCD2()00. Thc 20. I-inch active matrix disp/ay will support up to 1,280 by 1,024 re»olutinn.

Thc company has ul»o announced a 14-inch LCD400 model. Bnih will bc shipping in August with,estimated stree( price» o( 510,719 and 53.((99. fc»pec(Ivcly.

And»peaking ol' large tlat monitor». one o(' Ihc morc imprcs»ivc units was Mitsubi»hi's Lconaldo, a 40-utch pla»ma panel, al»o Intf'oducnl «I (hc show. Tltc 018,(8)0 unit will di»phly VGA fc»olutlon, is fouf inche» thick and wc(gh» 66 pounds. It Is cxpcc(cd (0 bc availIIblc in Oc(obcr.

8igger And 8igger

Thc Leonardo wa» just one o(»cvocal ovcr»izc monitors at MIL»ubishi'» booth. Tucked in the corner was the MegaView 50. a rear ' I I projection unit tihat will bc available later (his '' I* year for about $22,000. oI I Available now are slightly smaliler CRTCA N ADIAN COMPUTER WHOLESALER August '1997

ttl: 100$)$6$0006 fgL 100$I$6$.0001

based units. like the 42-inch McgaVicw 42. which the company claims uses the world' » large»t ma»»-produced CRT. Onc ol' the trends with these larger monitor» i» thc inclu»ion of NTSC input jack», to allow them to be used in home theatre», with DVD-ROM players, and well as plugged into VGA pons arid serving duty a» viewing »crcensforcorporate presentations. * Princeton s Arcadia home monitors, for example. will suppor( computer display resolutions of up to 800 by 600. but also include jacksto which consumers can connect a VCR or DVD player.

Another trend, driven by the same TV/monitor convergence, is the wide screen aspect ratio. Samsung Electronics Canada Inc.'s 2400W is a case in point. The widescreen monitor has a 16:9 aspect mtio. unlike the normal computer screen aspect ratio of 4:3. Because of this. the resolution is a less familiar 1„360 by 768 (instead of 1.024 by 768) and 1.072 by 600 (instead of 800 by 600). A Samsung spokesperson said that beyond the wide-screen movie po»sibilities, the mon('tor alilows a full two pages to be displayed, a boon for DTP.

Crowding lip The INainstreaon Expect vendors to stan pushing 17-inch Inonitors big time in the coming months. The evidence of (hat is the proliferation of models of (hat »izc. along wi(h price cuts. sw

«entactsc Mag, InnoVI»lon (Canada) and Pnncctnn Graphics: (905) 890-9465 Miisubishi Electric Sales Ctutada Inc.: (905) 475-8989 NEC Technologies Canada: (905) 795-3600 Samsung Electronic» Canada Inc.: (905) 819-5093 Sceptre Technologies Inc.: (818) 369-3698 View»onic Corp. and Optique»t: (416) 491-7088

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Desktop Videoconferencing Is Bio In Real Estate andBusiness Services

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CI's research indicates that only 56 per cent, or about 14 million, of the high-performance PCs in use at businesses are at locations that can boast network facilities capable of 56Kbps or higher speeds.

A recent report by Computer Intelligence (CI) reported that desktop videoconferencing, although "still in its infancy," is reaching into new market segments, such as the Insurance/Real Estate Agent and' Businessto-BusinessServices market sectors.

Those markets are traditionally not major usersof centralized videoconferencing, but according to the market research lirm, are leading the early adopters of desktop videoconferencing technology. Indeed, according to CI, these sectors now account for approximately 60 per cent of all business locations using desktop videoconferencing and approximately 50 per cent of all desktop systems installed.

The survey was conducted by CI between October 1996 and March 1997 of 19,000 business locations in the United States.

But widespread adoption is limited by two factors, said CI: the availability of lowcost, high-speed network bandwidth, and, an installed base of 486-and-above PCs capable of supporting a videoconferencing application.

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Which most closely reflects your view ol'computer purchasers, ih re l atton to MMX? Many customersare very aware A the technology-; -end ' 'I a Iot-:af intere t m Hat-s~ . ~ lay s ;4ndcvtii chexp'errt- ''~c te@mlca1'- beneAts of MMX and are demanding MMXto see significant yowth in demand for those prmlucts. basedprocessors in their new systems.

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C A NADIAN COMPUTER WHOLESALER August 1997 http i//wwwccwmag.ccm

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R ETA I L I N G T R E N D S

What's in Store for Stores

by David Rosen

Making A Market

What's in store for Canadian computer retailing? Many of the important lessons computer retailers learned last year centred around inventory: you either had too many of the wrong products or too few of the right ones.

This year a different situation is emerging. In today's make-or-break reality, the focus is on outlet size and market differentiation.

Sales Are Growing Overall, the news is good in the computer retailing business. According to Ian Hayes, seniormarket analyst forresearch giantA. C. Nielsen, total Canadian sales of computer merchandise through resellers grew in 1996 to $5.66 billion, up from $5.5 billion the year before. But their success didn't come easy, considering the competition from both traditional and non-traditional computer sales organizations.

Canadian computer retailers continue to jostle for their share of customers. Computer mega-stores opening up across the country continue to muscle out smaller, independent dealers. As well, non-traditional computer outlets, from bookshops to toy stores are making inroads into traditional computer retailing, especially for product lines such as books, CD-ROMs and consumer electronics.

Formed from the merger of Coles and SmithBooks in 1995, Canadian bookstore giant, Chapters Inc. is becoming a player in the software and CD-ROM market. Although the company won't discuss actual sales numbers, Helena Aalto, the company's director of marketingsays that software sales are now "in the Top 10 sales categories of our stores, often in the Top Five."

Toy stores are also getting into the computer retailing market-place. Worldwide, the Toys R Us chain led the way for toy retailers, posting a triple digit increase in total retail revenue from computer-related merchandise, to US$65 million in 1996.

24

With non-traditional retailers moving in on the market, traditional computer retailers had to do something competitive. "We' re seeing the successful retailers differentiate and carve out a market for themselves â&#x20AC;&#x201D; even in the large superstore organizations," explains Tim Billing, Ingram Micro Inc. (Canada)'s director of sales for it s Consumer Markets Division. "One segmentation we' re seeing is based on levels of buying expertise: some stores are geared towards the first-time buyer, while others target themselves at second- and subsequent-round buyers." Billing says that everything from the way the stores advertise to the after-sales support policies fall out of these fundamental marketing decisions.

Chain stores,Billing maintains, get people into the store by print advertising, primarily through newspapers. While this works for major retailers with large advertising budgets, Billing says a different strategy is needed for small, independent dealers. "Location and repeatbusiness are keys to a successfulsmal l retailer," Billing maintains. 'The only way to compete is to have a customer for life."

Splashed Ads, Slashed Prices At one end of the computer retailing specuum is Vancouver-based Future Shop, with 1996 revenues topping $1.5 billion. Future Shop tends to rely on splashy retail advertising to attract customers into its stores. Once there, low prices are used to transform prospects into customers.

"Our roots really lie in the selection and low-price strategy," explains Eric Ommundsen, a Future Shop spokesperson. But things are changing for Future Shop as well. "We' re focusingmore and more on service as the core value that people want, with a new instore service division, traditional repair service as well as after sales training, support and service." Future Shop's next venture is corporate sales where, Ommundsen says, large companies can purchase products through a directsales force.

Experience Shows In The City Ward Sullivan, Canadian regional sales manager for Tandy Corp.'s Computer City, explains the company's strategy is technological expertise rather than price. "We' re definitely positioned to go after the more experienced userand serve their needs,as well as

CA N A DIAN COMPUTER WHOLESALER August 1997 http/twwwccwmag.corn

the first-time buyer," says Sullivan.

"Computer City tends to be the place you go to get the latest technology, rather than the cheapest machine on the market," Sullivan maintains. "We will get down and battle at the $1,500 to $2,000 price point but, as we bring in top-of-the-line MMX machines and Pentium 200s, we can't keep those in stock."

According to Sullivan, the look and feel of each Computer City store has been designed specifically for its intended market.

Product mix and knowledgeable staff are obviously key, but Sullivan claims extra sales staff in the labor-intensive upgrades and software departments are also important to the chain's success. Computer City also plans to improve the look and feel of each of its stores over the next 12 months. "We' ll have separate sections for small office, home office, Internet and even kids," Sullivan predicted.

Keeping The Customer Happy Specialization and differentiation are two words that Myles Kesten knows well. President of Toronto's CD-ROM Store, Kesten specializes in, well â&#x20AC;&#x201D; CD-ROMs. The retail store carries hundreds of titles divided into three product categories: home entertainment, home office and home edutainment. "We stress content over newness here," Kesten explains.

"We' re known as a specialty retailer, not only in the community in general, but to other computer stores as welL" Kesten suggests a major trend in the business is software developer consolidation.

As anexample, he citesthe recentpurchase of software developers Davidson & Associates, Sierra On-Line and Knowledge Adventure by CUC International. Another trend he sees is the changing gender mix of his customers.

"Myst was the first major game that was attractive to both men and women," he says.

Many developers are now discovering that girls as well as boys can be key buyers.

To paraphrase an overused proverb: the only thing that stays the same in the world of computer retailing is change. And while change is important in the Canadian computer landscape, successful retailers find that differentiation, segmentation and, of course, luck, are just as important. ElW David Rosen is a C ontributing Editor at Canada Coniputes! He can be reached ar DavidYYZlaoL corn.

P remieri n g

The Stars are out:

i n a city near y o u :

T oronto : .3Com Canado, Adobe Systems, ACCPAC International, American Power Conversion, Brother Iniernational, Cheyenne Software, Ci~que, Clarets Canada, Compaq Canada, Corel, Farallon Computing, Global Village {Canada), Hayes Microcomputer, Hewlett-Packard, IBM Canada, Intel of Canada, lomega, Kingston Technology, Kodak Canada, Lexmark Canada, LG Electronics Conado (GoldStor), Lotus Development Canada, Matrox Electronir. Systems, Moximizer Technologies, McAfee, Microsoii, Motorola, Novell Canada, Okidata, Panamax, Protec Microsyslems, Quarterdeck, Seagate Software, Symantec Canada, U.S.Robolics/Megohertz, Verbatim, Visio, Xirccim.

Toronto August 9 8 10 Metro Toronto Co nvention Ce ntre

Halifax August 26 World Trade 8, Convention Centre

M ontr e a l August 28 Queen Elizabeth Hotel

TOUl:

3Com Conada, Adobe Systems, Allied Telesyn, ACCPAC International, American Power Conversion, Brother Internationol, Cheyenne Software, Cloris Canada, Canada, Corel, Farallon Computing, Hewleei-Packard, IBM Canada, Intel of Canado, lomega, Lexmark Canada, LG Electronics Conada (GoldStar), Lotus Development Canada, McAfee, Microsoft, Motorola, Seagate Software, Novell Canada, Okidata, Panamax, Quarterdeck, Symantec Canada, U.S. Robotics/Megahertz, Visio, Xircom.

Edmonton September 9

Comp aq

Convention Centre

Va neo uver September 11 Trade 8 Convenlion Centre

Softc,ach 97

To register call: 1-800 -8 13 -3 19 9

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N E T W O R K IN G H ar d w a r e

rke Is Now Everywhere

by Jeff Evans

The pervasive spread of Internet networking (Web browsers and the HTML standard) worldwide is turning the promise of 'information at your fingertips' into a reality.

For most PC users, computer networking technology is becoming a basic part of daily life. For computer resellers at all levels, as part of any computer sale, an ability to accommodate customers' needs for a networking solution is an increasingly critical skill. From consumer retailers through UARs, and o n u p t o la r ge-scale solution providers/systems integrators, networking has become a key challenge and opportunity in the information technology market of the late '90s.

Fortunately, along with increasing demand for networking solutions, networking technology has become cheaper, simpler to integrate and maintain, and much higher in capacity, flexibility, and interoperability (compatibility with other network systems) in recent years.

versal networking infrastructure, based on non-proprietary, universal standards. This single factor has made networking the PC an exploding opportunity for resellers. However, the virtue of the PC's opportunistic ability to accommodate new needs and technologies has also generated problems, one of the most basic of which is cost.

A raft of recent studies by consulting firms such as the Gartner Group have quantified the big fly in the PC ointment: maintaining a PC on a network is painfully expensive. According to the experts' best estimates, the price tag on the real cost of ownership of a networked PC is US$8,000 to US$12,000 per year. Only 10 to 15 per cent of this cost is for hardware. The rest is for training, network infrastructure, software, maintenance, and time wasted fiddling around trying to get the system to work properly (or 'futzing,' as it is technically described).

After a decade of client/server computing gradually bringing the Windows PC into the mainstream of business computing, network administrators are now facing the possibility of having to adopt entirely new technologies such as Network Computers (NCs) and Java software. This creates new opportunities for resellers, but also risks: betting on the wrong product can be costly for both end-users and vendors.

Idiot Proofing and Security The more widespread and essential computing becomes, the more concern there is for maintaining network operations. Demand for products to assist with the reliability and security of networking increases proportionately. To maintain the performance of NT systems, for example, Executive Software has done well selling its Diskeeper 2.0 for Windows NT 2.0. The markets for anti-virus software, firewalls, software usage monitoring programs, encryption, and secure commerce servers are all experiencing major growth.

PC Serendipity

Scaling Up and Down

The PC was originally conceived as a stand-alone, unconnected personal information tool, and for that reason, it was generally despised by networked computing professionals. 'Why would anyone want their own computer?' was a common, disbelieving response of mainframe computing professionals looking at the first feeble PCs. The pros understood the power of networked computing, and couldn' t imagine why anyone would want to try to go it alone on a disconnected, low powered, inferior system.

From the enterprise computing perspective, client/server computing came about on the PC in spite of itself. Even though the PC is not inherently a good platform for networking technology, with enough time, money and 'futzing,' it has been shaped into a tolerably effective part of real large scale network computing. The advent of the Internet, especially the World Wide Web, has allowed the PC to tap into a uni-

At the high-end of enterprise computing, the capacity of network databases and servers to handle vast amounts of information, and high volumes of queries or transactions is increasing exponentially. Sun has announced servers that can manage many terabytesof data. At a Scalability Day, M i crosoft showed off

26

CA N ADIAN COMPUTER WHOLESALER August 1997 http ttrwwwccwmag.corn

New XItcom ComboModem.

ING partnerssuch as Tandem, Compaq and Digital performing feats such as managing multi-terabyte map databases, and processing more than one billion transactions per day. At the lower end of the scale, there is a strong trend towards supplying network solutions for mid- to smallsized businesses that are almost 'out-of-the-box' commodities. The promise is that the user can simply turn on the server, string network cable, and plug in PCs or NCs. Miniature networks for small offices and even homes are possible, using products such as D-Link's 'Hubby.'

Compaq, IBM and other vendors have established divisions and developed products to server the SOHO networking market.

Faster Speeds, New Applications In thepast few years,there has been a constant demand formore network speed, to handle increased numbers of users employing traditional business applications, and also to enable new, even more dataintensive applications. Most current Ethernet network interface cards (NICs) are compatible with both 10Mbps and 100Mbps megabit networks.Many PC card manufacturers making cards for modems, such as Ositech, U.S. Robotics and Xircom, make combo cards that include both a 33.6Kbps or 56Kbps telephone line modem, and a 10/100Mbps Ethernet card.

IBM, in addition to a full spectrum of Ethernet and Token Ring networking products, has recently offered a line of high-speed ATM (Asynchronous Transfer Mode) networking solutions to desktop PC and workstation users. ATM has a number of advantages over traditional Ethernet and Token Ring technology (higher speed, and the ability to 'guarantee' uninterrupted bandwidth to priority users), and, according to IBM, has come down in price to the point where it is comparable to Ethernet.

Salesof videoconferencing cameras and systems, from vendors such as PictureTel, Corel, U.S. Robotics and Connectix have consistently increased due to a combination of better video compression, faster modems, and higher bandwidth phone lines (such as ISDN) and networks.

Digital Equipment Corp., in particular, has gained expertise in video server technology, for video-on-demand applications. The next wave of high-speed networking involves ultra-fast Ethernet or ATM networks using fibre optic cables to support 1GB networks.

PictureTetSwtttSite

porate Intranets. IKON Corp., which originally started out offering office technology services such as copier and printer maintenance, has become a major international provider of business networking services as well.

Increasingly, it will be difficult for resellers to simply take orders for boxes on shelves. That kind of selling will be easily done direct from vendors, often over the Internet. For the channel to benefit from the opportunities presented by networking, resellers will have to be able to add value based on expertise in providing network solutions.

That's the good news, and the bad. Ittttl Jeff Evans is Associate Editor of Canadian Computer Wholesaler. He can be reached atj effl tcpon,corn.

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Outsourcing With the growth of Internet-based networking for business, one approach to managing networks that many firms have investigated is to contract their network needs out to NSPs (Network Service Providers).

The logic of this approach is based on the fact that establishing a full-function network administration in-house is a major investment, in personnel, technical infrastructure and training. With standardsbased Internet technology, it's possible for a fum to set the specifications of what it needs in terms of networking, and then talk to a variety of NSPs to get quotes. Once a contract with an NSP has been agreed to, it's up to the NSP to maintain the integrity and reliability of the system. Some major players have jumped into the outsourcing NSP market, including Netcom and iStar (which both started as personal Internet Service Providers). iStar in particular has achieved a remarkable transformation, shedding much of its individual dial-up user business, and developing the commercial network business to the point where it is now 80 per cent of iStar revenue. Markham, Ont; based PSINet bills itself to the corporate world as "Your Internet BusinessPartner," offering a range of services such as "LAN OnDemand" (TCP/IP connectivity from an office to the Internet) and private IP networks with mediated Internet access, for the creation of cor-

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rket Broadens ForQnalilj Big Sisplays'

by Jazz Bhooi, Tim Bingham-Wallis and Steve Halinda

orkingwith on a 14-inch monitor has become a suffocating experience in a low-resolution world.

This is an opportune time for your customers to invest in a new display.

Indeed, a display is one component that is truly multi-platform and can last many generations of computers. Larger monitors have becomethe norm, and pricesare steadily falling, while quality continues to rise.

Most dealers are now packaging and marketing 15-inch displays instead of the so-called "standard" 14-inch offerings.

Cathode Ray Tube (CRT) technology may seem dated by PC standards, but monitors actually have been changing and improving dramatically in recent years. New innovations in refined production materials and processhave made monitors cost-effective, sharper,brighter, and more glare- and distortion-resistant. They einit fewer worrisome electromagnetic emissions than ever before as well. In addition, many monitors now come standard with once-luxurious amenities such as digital controls and energysaving power management. It is quite surprising how much CRT that money can buy.

Recent improvements have made monitor-buying decisions more complicated, with hundreds of displays from which to choose, varying greatly in features, performance, and price.

W

Yisually, Bigger Is Better The choice of size must fit the application, budget and footprint. Realistically, most aging 14-inch monitors support resolutions of 800 by 600 and even 1,024 by 768 pixel resolutions, in addition to standard VGA's 640 by 480. But increasing your resolution without increasing your screen area has its limita28

tions. Garbage in, garbage out! Displaying more information into the same amount of space decreases the relative size of items on the display to the point that text may become unreadable. And legibility is definitely an issueforyour customers.

Unfortunately, a 1 5 - inch m o nitor doesn't realistically permit any higher resolution than a 14-inch display. As a result, the 17-inch monitors are quickly becoming the norm for business PCs, nevermind graphics professionals. Regular business users who are writing proposals, crunching spreadsheets, and creating presentations, are far better on a 17-inch than a 15-inch display. When switching among multiple windows, or viewing a full-page layout for a newsletter or other desktop-publishing jobs, working in 1,024 by 768 is desirable. Most 17-inch screens also let the user sample the sights at 1,280 by 1,024 resolution â&#x20AC;&#x201D; more than quadruple the working area of the 14-inch VGA. For these applications, the 17-inch monitor is a savvy choice. For those to whom budget is not an issue, or if they' re CAD/ CAM or graphic professionals â&#x20AC;&#x201D; the 20-inch display is a wise choice. But it isn't always popular, because of its expensive price tag, mammoth size, weight and footprint.

Plug and Play Thanks to Microsoft Windows 95's Plug and Play, the job of installing a new monitor or matching it to other system components has become easier.

The Plug and Play standard synchronizes the PC with the display through a data channel (DDC) incorporated in the VGA connector. The monitor uses the DDC to communicate its current and maximum scan rates to the PC. This allows the graphic card in the PC to lock in the optimum settings

CA N ADIAN COMPUTER WHOLESALER August 1997 http/twwwccwmag,corn

and highest possible refresh rates without any reference to t e chnical d ocumentation.

Another feature that is quite impressive is VESA's Enhanced Video Connector (EVC), designed to replace the familiar 15-pin and rarer three-cable BNC connectors. EVC will not only support higher bandwidths than existing cables, but also will let your customers plug multimedia input devices such as cameras or microphones directly into a monitor.

Health and Safety If potential elecbumagnetic emissions from a monitorare a concern for your customers (and many would argue they should be), recommend a monitor that complies with the MPR-H or TCO standards. These Swedish guidelines set limits on a monitor's extremely low-frequency (ELF) and very low-frequency (VLF) emissions.

MPR-II compliance adds little to a monitor's cost, since manufacturers only need to provide better shielding inside the monitor's caseand add compensating magnets to cancel out the fields created by the powerful electromagnets that direct the electron beams. The stricter TCO standard specifies an emissions level even lower than MPR-II, valid directly in front of the monitor â&#x20AC;&#x201D; which costs more, due to the difficulty of shielding the monitor's face with a special coating.

Our Tests W e u se d Di s playMate b y Son e ra Technologies (1-800-932-6323 or (908) 7476886) to run a series of test and color patterns on each monitor. DisplayMate is an excellent diagnostic tool designed to aid users in easily determining if their monitors and video cards are performing as they should.

Number crunching, graphics generating, data processing, presentationcreating, informationstoring performancel

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Then call us at:

1-800-788-2878 for a dealer near you.

(Checkout our web site at: www.sceptretech.corn

Soundx 4500 Power Configuration: 166 MHz Pentium Processor with MMX Technology 32 MB RAM 2 GB HDD $3,895 MSRP U.S.

pentium "lfwe sound confident, it's because the Soundx 4000, our previous model, just beat theirbest in an independent NST'L testl

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la A laVisioa 1710AV Support For Resellers: Marketing funds.

Reseller referrals.

POP displays.

National advertising.

One-yearwarranty includes parts and labor.

Toll-free tech support.

Dedicated technical BBS. Dealer-specific space on the Web site.

Demo Unit Availabi%ty: There is a standard 15 per cent off demo discount, with a maximum of one unit per product family.

Editors' Notes: The 1710AV from Apple is sure to please any Mac user. It offers a viewable screen size of 16.1 inches, a dot pitch of 0.26-mm and a maximum resolution of 1,280 by 1,024 at 75Hz. The monitor features built-in speakers and a microphone for out-of-the-box multimedia, and is MPR-II compliant. It uses a Sony Trinitron tube to deliver sharp images with great clarity. When not in use, the monitor's power saving mode puts it into a zero-watt sleep state, saving considerable amounts of energy.

The 1710AV has an estimated street price of $1,299.

Azura 17M+ Support For Resellers: Three-year warranty includes parts and labor.

Toll-free tech support.

Volume Discounts:Yes. Editors' Notes: Azura offers a low-cost 17-inch monitor with a 0.28-mm dot pitch and a 15.6-inch viewable screen. The maximum resolution on this unit is 1,280 by 1,024 at 60Hz, which automatically places that par-

ticular mode into "use only when absolutely required." Test and color patterns on our tests proved to be quite good. The vertical frequency ranges on this monitor are from 50 to 90Hz, with the horizontal range being 30 to 65kHz. The unit weighs 18 kg and consumes a maximum of 120W while being used.

Art Media TN1885T Support For Resellers: Reseller referrals.

Three-year warranty includes parts and labor.

Toll-free tech support.

Editors' Notes: ArtMedia's new TN 1885T is aimed at professionals in the CAD/CAM/CAE industry, as well as at high-end graphic designers and users of advanced business applications. The tube in this model

is of the Trinitron variety, offering a dot pitch of 0.25-mm.

Horizontal scan rates range from 30 to 85kHz, while its vertical refresh rates go as high as 150Hz. At its extreme resolution, the TN1885T is capable of 1,600 by 1,200 at 60Hz, although the optimum operating resolution for this monitor is 1280 by 1024 at a flicker-free 75Hz. The on-screen display (OSD) offers a wide variety of user-configurable settings, and is easy to operate. The suggested retail price on this model is $1,368 and comes standard with a three-year limited warranty.

Acer AcerView 78ie Support For Resellers: Co-op advertising.

Three-year limited warranty includes three-year parts and one-year labor.

Volume Discounts:Yes. Editors' Notes: Acer's latest 17-inch model is the 78ie. This monitor offers a reasonable compromise between quality and performance. With a 15,6inch viewable screen and a 0.26-mm dot pitch, the monitor is capa-

ble of delivering up to 1,280 by 1,024 at asolid 75Hz refresh rate for greatlooking images. It features fourcolor temperature presets, many configurable options through the easy-to-use OSD, and v ertical refresh rates as high as 120Hz. The 78ie weighs 18 kg. Test and color patterns were sharp, with good quality and no problems encountered.

Samsaa 700 Support For Resellers: Reseller referrals.

Three-year warranty includes parts and labor.

Toll-free tech support.

Demo Unit Availability: Yes. Editors' Notes: With a dot pitch of 0.26-mm and a viewable screen size of 15.7 inches, Samsung designed the 700p to deliver a slew of features 30

combined with performance. The monitor features an exceptionally clear screen capable of producing some of the best images we' ve seen in this roundup. Vertical refresh rates are available up to a VESA recommended 85Hz in1,024 by 768 for comfortable viewing with plenty of screen real estate. The 700p is capable of even higher resolutions up to 1,280 by 1,024 at a refresh rate of 75Hz, although we noticed some focus loss near the corners in this mode.

All inall,the 700p offers a good balance of features,performance, at a price that won't set your customers too far back.

CANADIAN COMPUTER WHOLESALER August 1997 hrrp/twww.ccwmag.corn

VSx-7 Multi-media >nonitor. A/I Visuai Sensations i>u>ni>ors are covered by our KA RES return policy

Discover how to Increase Your Profits! Guaranteed!

ARES You save money and increase your profit from the KDS (KARES)

Advanced Replacement Express Service. You benefit from the only program of this nature in Canada. You don't have to worry about an unknown

third party's prolonged turnaround time. If you average 3 RMAs a week, you' ll probably save over $20,000 annually.

Warehouse You get faster delivery because there are always over 20,000 monitors available — waiting to be shipped to you!

Improvements Before we ship to you, the quality of the monitors is ~sam le tested snd the results emailed back to the manufacturing facility. Your monitor is continually undergoing processes of never ending improvements.

ISO Quality You get a better, more uniform product because the KDS factory is 100 Io automated. Components and processes follow stringent ISO guidelines so you end up with a better made, more reliable product.

Field Inspections Quarterly, KDS engineers visit each country's office to ensure that your monitor performs as well in the field as it did at the factory. They check local repair and testing processes to ensure that the product you get meets factory quality standards..

Global Player Purchase your monitor confidently knowing you have reliable cutting edge componentsbecause KDS manufactures over 15% of the WORLD production of flybacks and yokes, even supplying other world recognized monitor manufacturers.

@WINDO WS design."

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January 1997 O ut o f 2 4 monitors tested Byte said the KDS 17' VS-7 was one of the lower cost monitors deserving mention as good choices for home systems.

(Oct.1996) "KDS's new V SX-7 m o n i t o r i s a feast for the eyes with its clear, crisp picture a nd c l e a n , mo d e r n

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For more information, contact KDS / Orchestra Tel: (905) 829-9077 Fax: (905) 829-1856 Website: http: //www.kdscanada.ca KDS/Visual Sensations Distributors Orchestra Distributors Ingram Micro (800) 688-3450 ingram Micro (800) 688-3450 Daiwa GB Micro Globelle

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Da ak DT-1731D Support For Resellers: Marketing funds.

Reseller referrals.

POP displays.

National advertising.

Three-year warranty includes parts and labor.

Toll-free tech support.

Volume Discounts:Available.

Demo Unit Availability: Yes. Editors' Notes: The DT-1731D from Daytek is a great example of a low-cost monitor without a huge trade-off on quality. This monitor offers a 16.3inch viewable screen size â&#x20AC;&#x201D; the largest in its class among this

month's contenders. It features a 0.28mm dot pitch, with a maximum vertical refresh rate of 90Hz. At 1,280 by 1,024, the maximum attainable refreshrate isjust60Hz, so we recommend keeping this monitor in 1,024 by768 for a flicker-free display. Weighing in at 17 kg and with a power consuinption of 100W, this monitor is a great option for anyone looking to get good performance at a low price. Daytek expects to have a brand new model which should be available by the time you read this. The new model will employ a Mitsubishi DiamondTron tube.

Eizo FX-CS Reseller Authorization:Required.

inch viewable screen with a dot pitch of 0.26-mm for sharp text and graphSupport For Resellers: ics. It comes with preset color temReseller referrals. perature settings ranging from Demo program for resellers on CD-ROM. 4,000K to 10,000K. The on-screen Three-year warranty includes parts and labor. display is available in a total of six different languages for the ultimate in Volume Discounts:Yes. flexibility. Color reproduction and Demo Unit AvailabilityiOne demo unit per model per location. image quality were both exceptional.

Editors' Notes: There were no noticeable focus problems at all The new FX-C6 is capable of resolutions as high as 1,600 by 1,200 when we switched it into a resolution of 1,280 by 1,024. Even 1,600 at 68Hz. Vertical refresh rates on this monitor go all the way up to by 1,200 proved to be easily readable with small text. If perfor160Hz for the ultimate flicker-free display. The FX-C6 has a 15.6- mance is your first priority, Eizo monitors are unmatched.

Goldstar Studioworks 78D orates considerably at that resolution. At 1,280 by 1,024, images and small text were still acceptable, with a slight amount of blurring at the corners. The monitor has two color presets at 9300 and 7200 Kelvin, has an easy-to-use Volume Discounts: Arranged through distributors.

OSD which is very thorough, and feaDemo Unit Availability:Yes, via distributors or Goldstar. tures 40 memory settings. Of those setEditors'Notes: tings, 16 are preset at the factory, leaving This 16-inch viewable screen offers a fine dot pitch of 0.25-mm and the user a total of 24 remaining â&#x20AC;&#x201D; still far more refresh rates up to 120Hz. The maximum attainable resolution on than most users would need. Test patterns were good overall, this monitor is 1,600 by 1,280 at 66Hz, but we noticed focus deteri- although the two damper wires were noticeable at all times.

Support For Resellers: Marketing funds.

Reseller referrals.

Three-year warranty includes parts and labor.

Toll-free tech support.

H undai DeluxScan 17B+ Reseller Authorization: Required.

Support For Resellers: Marketing funds.

Reseller referrals.

POP displays.

Three-year warranty includes parts and labor and picture tube.

Toll-free tech support.

Volume Discounts: Yes. Demo Unit Availabi%tyiOne demo unit per model per location.

Editors' Notes: Although the dot pitch on this model is 0.28-mm with a viewable screen size of 15.6-inches, it managed to produce some of the best 34

CANADIAN COMPUTER WHOLESALER August 1997

images and test patterns we' ve seen. At 1,280 by 1,024, focus was exceptionally good, although only at 60Hz. The maximum vertical refresh rate on this monitor is 150Hz. If you try to exceed either a refresh rate of resolution, the OSD will immediately give you a message saying "Out of Range." Presetcolor temperatures are for 9300 and 6500 degrees Kelvin, plus one additional setting for a user-defined combination. Compliance is met with both MPR-II and the TCO '92 standards. This monitor is definitely worth a second look.

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What's needed here'? An eye tuck> Oil of Olay? A monitor with z6oo lines of resolution, o.25 mm aperture

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Everything you'd expect in a superior monitor. For a demonstration telephone

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15.8

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3$ C A NADIAN COMPUTER WHOLESALER August 1997

ssssp Avww ccwmeg.corn

1400-29Hi542

www.nokia.corn 3years

15 027 39-N

ll30 18.5

Yes (416)491-7098 (905)624-501D sonic.ca www.uiewsonic.corn www.pane 3 years

3years

15.7 0.28

15.7

16

15.8

0.25

0.26

15.7 0.28

16.1

0.28

AG,AS 30-85

AG +S

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30-70

30-69

27-92

AG,AS 30-95

AG,AS 30-69

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50-120

50-150

50-120

50-160

50-120

50-90

50-160

1,280xl,024,60Hz 90

1,280xl,024,60Hz

1,600xl,200,72Hz

1,600x1,200,75Hz

1,280x1,024,60Hz

1,600x1,2DO , 69Hz

130

110

120

120

15.8

17.7

23

18.7

17.5

17.5

Yes

Yes

Yes

Yes

Yes

Yes

1-800-568-0060

1-800-465-7999

(21 5) 957-6543

1-888-KDS-9001

(905) 948-0000

(905) 281-8992

www.hei.co.kr

www.pc.ibm.corn

www.iiyama.corn

www.kdscanada.ca

www.edge.net.au

www,maginnovision.corn

3 years

3 years

3 years

3 years

3 years

3 years

16 0.25

1,6DOx1 ,280, 66Hz 120 20.5 Yes

(905)670-0650 www.go(dater.corn 3 years

$799 $995

$699

$1,310 $1,072

15.9

15.7

15.6

0.26

0.26

0.26

AG,AS,AR

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30-86

30-85

50-160

$599

$969

$549

15.9 0.25

15,75 0.26 AG,AR,AS 30-85

AG,AS

30-87

AG,AS 30-85

50-160

50-120

48-150

50-120

50-180

1,60Dxl,280,60Hz 115

1,280x1,024,75Hz 130

1,600x1,200,70Hz

1,600x1,200,66Hz

1,600x1,200,60Hz

1$80x1,024,60Hz 95

19

140 20

130

21

125 16.8

17.5

16.7

No

Yes

Yes

Yes

Yes

Yes

(416)292-5161 www.philips.corn

(905) 542-3535

1-800-788-2878

(41 6)499-1414

3 Years

3 years

$1,699 $1,199 $1,099

$1,299

$1,099

3 years $699

3 years $1,350

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$1,199

$1,150

www.samsung.corn www.sceptretech.corn www.sony.corn

0.26

16 0.27 30-70

(905) 238-6610

(416) 491-7088

www.ttxmonitor.corn 3 years

www.viewsonic.corn

$899

$939 $850

$850

$965

3 years

http//wwwccwmag.ccm August 1997 CANADIAN COMPUTER WHOLESALER 3 7

il I~ r

L AB

T EST

KTXTo Scan Support For Resellers: Three-year warranty includes parts and labor.

National advertising.

Web site includes technical information and drivers.

Editors' Notes: If you' ve got a budget-conscious shopper, KTX has just the thing foryou. With a viewable screen size of 15.7 inches and a 0.28-mm dot pitch, this monitor produced good quality images up to 1,024 by 768, with a slight focus loss around the edges and corners. Anything

above this resolution is not recommended. The monitor features a handy self-test feature which runs through all of the options on the onscreen display, and runs a self-test on each of them. Vertical refresh rates are available as high as 90Hz, with a horizontal scanning frequency of up to 69kHz.

KDS VS-9 Support For Resellers: Co-op advertising.

Toll-free tie in to resellers.

POP displays.

Three-year warranty includes parts and labor.

Toll-free tech support.

has a viewable screen size of 15.8 inches, with a dot pitch of 0.26-mm.

Refresh rates up to 120Hz are supported, with the maximum resolution being an incredible 1,600 by 1,200 at 75Hz. The OSD is excellent with very easy to read fonts and icons, making it Volume Discounts:Yes, arranged through the distributors. very easy to use. Color temperatures are ccgLBi Demo Unit Availability: preset at 6,500 and 9,300 Kelvin, as well as KDS does not offer a national demo program but supports the dis- at room for an additional user-defined setting. tributors when they request demos for volume opportunities.

The VS-9 produced some very good quality images with sharp text.

Editors' Notes: Focus was exceptional at 1,280 by 1,024. For a mix of great feaThe KDS VS-9packs a lotofpunch fora greatprice.To startoff,it tures,good performance and a greatprice,look no further.

MAG Innovision Support For Resellers: Marketing funds.

Reseller referrals.

Three-year warranty includes parts and labor.

Toll-free tech support.

Volume Discounts:Yes. Demo Unit Availability: Yes, select models.

Editors' Notes: The new Mag DJ717 features a larger viewable screen of 16.1

inches with a dot pitch of 0.26-mm capable of resolutions as high as 1,600 by 1,200 at 69Hz. On the front of the monitor is an interesting twist rarely encountered. The OSD options are controlled via a wheel which offers access to all the various features in a smooth and easy to control manner. Test patterns showed that the monitor is well-designed, with only a slight amount of focus loss at the very high resolutions. MAG recommends this monitor for high-end corporate use, business graphics or commercial imaging. The DJ717 is a good choice regardless of its intended use because it offers professional display capabilities at a price that's not restricted to corporate use only.

Monex SM785F Support For Resellers: Co-op advertising.

Reseller referrals.

POP displays.

Three-year warranty includes parts and labor.

Volume Discounts:Yes. Demo Unit Availability:Yes, with some restrictions.

Editors' Notes: This model features a 16-inch viewable screen with a dot pitch of 0.28-mm. The maximum resolution is 1,280 by 1,024 at 60Hz,

meaning use that setting only for short periods of time when required. With a verticalfrequency range of up to 120Hz, all lower resolutions will providefl icker-free displays. When compared to typical 17-inch monip .~„,; tors, the Monex SM785F occupies considerably less desktop space, while still providing a viewable screen of 16 inches. The unit consumes only 95W of power, and weighs 16.8 kg.

Son 17SE2 • • • • • • • • • • • • • • • • • • • • • • • •

• • • • • • • • • • • • • 0 • • • • • • • • • • •

Editors' Notes: Using Sony's very own Trinitron tube technology, the 17SE2 has a 15.9-inch viewable display with a do t p i tch of 0 .25-mm.

Resolutions as high as 1,600 by 1,200 are available at 66Hz, with additional support for all common VESA modes for a true flickerfree display. There's no mistaking a Sony monitor. Just by working 38

•

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• • • • • • • • • • • • • •

with one for a few short minutes you quickly begin to appreciate its many features. The on-screen display gives your customer complete control over everything imaginable from moire reduction to convergence adjustments. Designed for high-end graphics such as CAD/CAM, the 17SE2 isn't available at bargain prices, but is definitely a worthwhile investment.

CA N ADIAN COMPUTER WHOLESALER August 1997 http//wwwccwmag.corn

Q DI's Hurri cane swept through motherboard industry ThousandsofprofessionalSystem Integrators haveturned to us !!

Bus Master -IDE Improves IDE devices performance by off loads the processor

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Intel 440FX

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Enhances multi-media performance by concurrent CPU and PCI access to memory.

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SLOT 1 For PentiurrP II Processor.

Multi-I/O Panel Connectors panel, including serial, paranel, PS/2 mouse, PS/2 keyboard and USB connectors.

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As a top ranked independent motherboard manufacturer, QDI experienced a tremendous growth in sales last year of more than 150%. It is not by chance. This magnificent achievement can be attributed to our strong manufacturing capability, and our local marketing and technical support, which we provide to our customers. All our rese0ers are happy with our products. More importantly, they are a8 profitable due to our business.

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—NAAN QUARTERSAUNNNPNTQR(CANANA),INC. 75ShieldsCourt,Unit4,Narhham,Ontario,L3RST4 Tel:1-905-9403827 Fax:1-905-9409709 QRIQUIPU THI (VANCQNHI),INC. Unit4,13520CrestwoodPlace,Richmond,8 C.Canada VSV 202 Tel:14I042786789 Fax:1-604 2788918 MINI NIPNTHI (NIQNT NNAL), INC. 2845 HelparnStreet, St.Laurent, Quebec,H4S1PS,Canada Tel:1-5143356811 Fax:1 514 3356822

~®g CQFC c

L AB

T EST

li arna INT-9017E •

• •

Support For Resellers: Co-op advertising.

Reseller referrals.

Three-year warranty includes parts and labor.

Toll-free tech support.

Volume Discounts: Thereis free shipping on five or more units, and a price break after 25 units.

Demo Unit Availability: There is reduced pricing for demo units.

Editors' Notes: The MT-9017E features a 16-inch viewable display with a fine dot

•

•

•

•

•

•

•

pitch of 0.25-mm. Its maximum resolution is at an extreme 1,600 by 1,200 while maintaining an impressive refresh rate of 72Hz. It goes without saying that the test patterns we produced on this monitor were without a doubt the best that money can buy. The OSD offers complete control over anything and everything that you could ever want to configure. Focus loss was not noticeable until we hit the really high resolutions of 1,600 by 1,200, at which point it was barely noticeable — especially when compared to others in this roundup. Although these monitors aren't cheap, they are every graphicsprofessional's dream.

NEC P750 Support For Resellers: Co-op advertising.

Reseller referrals.

POP displays.

Three-year warranty includes parts and labor.

Dedicated technical BBS. Toll-free fax-back information service.

were sharp with vivid colors at any resolution. We were surprised to see how good the focus was when we switched it into 1,600 by 1,200. At this resolution, the monitor can handle a refresh rateof an exceptional 75Hz. The OSD is easy to use and offers a wide range of configurable options. There are five color Volume Discounts:Negotiated with distributors. , ~ cgglENcE temperature presets, each one also being Demo Unit Availability:Yes. user configurable. This monitor is more on the Editors' Notes: expensive side, but if performance is your number one concern, it With a 15.6-inch viewable screen and a 0.25-mm dot pitch, images leaves little to be desired.

I

I

Nokia 447Xavc Support For Resellers: Marketing funds.

Reseller referrals.

POP displays.

National advertising.

Three-year warranty includes parts and labor.

Dedicated technical BBS. Dealer-specific space on the Web site.

Volume Discounts:Yes, depending on opportunity.

Demo Unit Availabi%ty:Yes. Editors'Notesi This new model has a 15.7-inch viewable screen with a fine dot pitch of 0.25-mm. It is capable of an impressive 1,600 by 1,200 at 72Hz for super-fine images without flicker. Although at this extreme resolution we did notice some degradation in focus, it was only a

slight amount. At 1,280 by 1,024 the monitor produced excellent images and test patterns. Vertical refresh rates can go up to 150Hz when in lower resolutions for truly flickerfreedisplays.The on-screen display is configurable in seven different languages and is very easy to use. There are two custom color temperature profiles, asw ellas seven presetvalues.Because of the Trinitron tube, the two damper wires are noticeable, although no more so than they are on any other model with a similar tube. If multimedia and videoconferencing are something your customer fancies, this monitor was made with them in mind.The 447Xavc incorporatesspeakers,a m icrophone, and even a color video camera into the unit.

Phili s Brillanee107 Support For Resellers: Marketing funds.

Reseller referrals.

POP displays.

Three-year warranty includes parts and labor.

Toll-free tech support.

Volume Discounts: Yes. Demo Unit Availabi%ty:Yes, a 30-day loan.

Editors'Notesi The Brilliance 107 features a 15.9-inch viewable display, a dot pitch of 0.26-mm and amaximum resolution of 1,600 by 1,280 at60Hz. 40

Refresh ratesof 75Hz are offered at 1,280 by 1,024 and 1,024 by 768. Test patterns on this monitor proved to be of good quality overall, although there was a slight focus loss at 1,280 by 1,024 and above. The Brilliance ' 107 also incorporates a pair of speakers and microphone into itself for rnultimedia-ready applications. This particular model is also the only one in our survey this month which did not offer any on-screen controls. To make adjustments to the monitor, you must use the included Customax software.

CANADIAN COMPUTER WHOLESALER August 1997 «tip//wwwccwmagcpm

Q DI's Hurri cane swept through motherboard industry ThousandsofprofessionalSystem Integrators haveturned to us !!

Bus Master -IDE Improves IDE devices performance by off loads the processor

Switching Voltage Regulator

Intel 440FX

Provides a higher efficiency and stability voltage supply to Pentiume II

PCI Concurr ent

SpeedEasy™

Enhances multi-media performance by concurrent CPU and PCI access to memory.

Jumper free for CPU speed setting. oo I

wl

SLOT 1 For PentiurrP II Processor.

Multi-I/O Panel Connectors panel, including serial, paranel, PS/2 mouse, PS/2 keyboard and USB connectors.

The new Commander III Pentium® IIbased Motherboard

il,j rNX q POI440FX4TP OOMIVIANOER rv

QDI is one of the lar gest PC motherboard

P51430TX<50 TITANIUM I/IS

manufacturers inthe world with • Local marketing and technical support • Full range of products from Pentiurrp to Pentium II • State-of-art quality product

PSI440FX

COMMANDER

As a top ranked independent motherboard manufacturer, QDI experienced a tremendous growth in sales last year of more than 150%. It is not by chance. This magnificent achievement can be attributed to our strong manufacturing capability, and our local marketing and technical support, which we provide to our customers. All our rese0ers are happy with our products. More importantly, they are a8 profitable due to our business.

P5 l430TX/ATX TITANIUM 0/IIS

NS i PEI430VX450DM

You will be impressed 6y our superb product quality and our fully comprehensive range of products from Pentium® to Pentium® Pro Motherboard.

Psi430TX/MATX

Act now - Join us as our partners today!!!

For full range products please visit our e/eb site.

WORLD CLASS htAINLLOARD httpliwww.ertrrrrp.corn

—NAAN QUARTERSAUNNNPNTQR(CANANA),INC. 75ShieldsCourt,Unit4,Narhham,Ontario,L3RST4 Tel:1-905-9403827 Fax:1-905-9409709 QRIQUIPU THI (VANCQNHI),INC. Unit4,13520CrestwoodPlace,Richmond,8 C.Canada VSV 202 Tel:14I042786789 Fax:1-604 2788918 MINI NIPNTHI (NIQNT NNAL), INC. 2845 HelparnStreet, St.Laurent, Quebec,H4S1PS,Canada Tel:1-5143356811 Fax:1 514 3356822

~®g CQFC c

L AB

T EST

Panasonic PM17 Editors'Notes:

displays are viewable in any one of This monitor has a 16-inch viewable screen size which puts it near fivedifferent languages.There are the top few in its class. It offers a dot pitch of 0.27-mm, and is capa- two preset color temperatures ble of resolutions as high as 1,280 by 1,024 at a refresh rate of 60Hz. and one user customizable setAt 1024 by 768, however, it is capable of a solid 85Hz for sharp, ting. Test patterns proved to be flicker-free images. Built into the PanaMedia PM17 are a pair of sharp with good color and con3W stereodome speakers,the same ones which are incorporated trast. The PM17 weighs in at 18.5 into Panasonic television sets. Also built into the monitor is a micro- kg, and meets all MPR-II emission phone, ideal for presentation or videoconferencing. The on-screen guidelines.

Sce tre P75A Editors' Notes: From a company well-known for making flat-panel LCD displays and desktop monitors, comes its latest 17-inch model. The P75A has everything your customers could ask for in a 17-inch monitor. To start off, there is the 15.6-inch viewable screen, with a fine dot pitch of 0.26-mm. Vertical refresh rates can go as high as 120Hz, with a maximum resolution being an extreme 1,600 by 1,200 at a solid 70Hz. The on-screen display will allow your customer a full range of configurableoptions with a choice of five pre-programmed lan-

guages. The P75A managed to produce good quality images and sharp text and was able to maintain its focus very well up to 1,280 by 1 ,024. Resolutions beyond that should only be used for brief periods of time when required to view a larger image.

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of 15.75 inches, with a dot pitch of Reseller Authorization: 0.26-mm. Resolutions as high as 1,600 Application and authorization are required. by 1,200 are supported at 60Hz, with Support For Resellers: support for up to 120Hz at lower resCustom programs tailored to specific reseller needs are available.

Three-year warranty includes parts and labor (first and second year olutions. Test patterns proved to be sharp and focused even at the extreme parts and labor, third year — parts and labor, but no CRT). resolutions. Even small fonts were Web site includes technical information. clear and discernable. The OSD on this Volume Discounts:Yes. model is very easy to use, offers a full range Demo Unit Availability:Yes, must be kept on display for 60 days. of configurable opti6ns including three color temperature presets at 6500, 7500 and 9300 Kelvin, each of which are Editors' Notes: The 7785Sfrom TTX offers an excellent balance of features,per- fully custom configurable. For great performance at a competitive formance and a competitive price. It features a viewable screen size price, give the 7785S from TTX a second look.

ViewSonic G771/0 ti uest V773

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • P

Support For Resellere: Reseller referrals.

Toll-free tie-in to resellers.

Three-year warranty includes parts and labor.

well maintained even at 1,280 by 1,024.

The G771 is TCO- and NUTEK-certified, weighs 16.7 kg and is covered by a three-year warranty.

Volume Discounts:Possibly for volume corporate accounts.

Optiquest V773

Demo Unit Availability:Yes, with some restrictions.

It offers a good balance of features and competitive pricing. For starters, it has a 15.8-inch viewable screen with a dot pitch of 0.26-mm. In its lower resolutions, the monitor can providerefresh rates as high as 160Hz, although in its maximum resolution of 1,280 by 1,024, it is limited to 60Hz. The on-screen display is simple to use ,1 and offers several configurable options at the touch of a button. At a resolution of 1,024 by 768, this monitor produced superb images with vivid colors. Focus and clarity were maintained even at its extreme resolution of 1,280 by 1,024.

Editors'Notes:

ViewSonic G771 The G771 was designed to replace and improve upon the 17GS model which was a top-seller for ViewSonic. Aside from being very aesthetically pleasing, the G771 offers some excellent features comparable with monitors in a higher price range. With a full 16-inch viewable display and a dot pitch of 0.27-mm, sharp images are the norm for this monitor. Its maximum addressable resolution is 1,280 by 1,024 at 60Hz, but at 1,024 by 768 you get a solid flicker-free display at 87Hz without eye-strain worries. At lower resolutions, the monitoriscapable of refresh ratesashigh as 180Hz. The on-screen display is clear and easy to use, with a multitude of configurable options. Test patterns were very clear and sharp, and focus was very 42

CANADIAN COMPUTER WHOLESALER August 1997

hr tpiiwwwccwmag.cpm

THE ADVANTAGES ARE AST©UNQING As an ISO-9002 certified manufadurer, we make it our business to provide only the finest components for our

customers. Our commitment to quality is the foundation

@~I )~I~I'

for our products, service and innovative computing

solutions. This corn(nitment has been rewairded with achievement awards, Circle Canada status for our NMSO offering, CSA and DOC certification and most importantly of alll, loyal customers.

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To oRMR cALL Tou. FREEI T-SOD-90DOSTD Oi lice SID ehichcccneael SD oeciice5lb logeceoeohoce4 d Siii. 1hseeeieocie cegooafpeeecoceocciecoociecdccoe4 oi ecol~ &

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Mitsubishi Diamond Pro 877XM •

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you sit in front of and then don't want to leave. With a 16-inch viewable screen and a dot pitch of a super fine 0.25-mm, every image this monitor produced was nothing short of excellent. Vertical refresh rates are available up to 130 Hz, with the highest resolution being 1,600 by 1,200 at 66Hz. Wewere surprised athow good the focus was at this extreme resolution. The OSD is easy to understand with a wide variety of configurable options. Although the two damper lines are faintly visible, it's a small price to pay for this otherwise exceptional monitor.

Marketing Support For Resellers: Co-op advertising.

Marketing funds.

Reseller referrals.

POP displays.

Three-year warranty includes parts and labor.

Volume Discounts:On a case-by-case basis.

Demo Unit Availabi%trt Yes. Editors' Notes: The Diamond Pro 87TXM from Mitsubishi is the kind of monitor

IBM G72 •

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Support ForResellers: Marketing support for resellers.

Co-op advertising.

Reseller referrals.

POP displays.

Education/training.

Three-year warranty includes parts and labor.

Volume Discounts:Yes. Demo Unit Availability:Yes, monthly rates apply.

System Strengths: The company says the IBM G72 monitor offers excellent price/performance, leading-edge technical features and best-of-breed war-

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ranty and support from IBM. It is targeted to business application users who require the productivity of a larger screen to handle many (three or more) applications open simultaneously.

Editors' Notes: The G72 is available in two colors, either "pearl" or "stealth grey," as listed

by IBM. The G72 features a 0.28-mm dot pitch on a 15.7-inch viewable screen. The maximum addressable resolution is 1,280 by 1,024, although only at 60Hz. In lower resolutions, the G72 is capable of refresh rates as high as 120Hz. The unit weighs 17.7 kg.

'" '.-.'P -'<erformance

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'4i Theseawards are given forraw performance and overallfeatures. Thi's month,.competition was very tight in this category, '-; and as.a result we rlre forced,to hand obt three awards to thrlse A,,t! that stand out from the comp'et'ition.

The 'Eizo linn of monitor are weII-k„own m'the induiky ;;;+) for offering incraf ibly sharp, vivid images without comproIl', ,' mise, and the FX-C6 is a-gxeat example of this. Excellsnt - image qualkty, super-high r'esolutions with greet. focuyr u'rrd =,'; grade-A design are the makings of this monitor.

Last, year, Mitsubishi won a perfonnance award for its "':"'"'" Diamond Pro 17TX. Altl ugh that particular model is- ,no ' ' longer in production, it has been replaced by' yet another ,, award-winning model, the 87TXM. With its DiamondTron ;,, ",jj~ tube, the:-$7TXM offers stunning images at any @solution 'rrnd '

offers awide rangecofrefinish'ratesup'4 130Hz.

Without a doubt, the P75A from Sceptre otfRrs the niost bangfor the buck..lt features a small dof pitch, a resolution of 1,600 by 1,200 at 70Hz and vertical refresh rates.up to 120Hz all at an incredibly:.attractivec.price from a leader in the-monitorlndustry

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At just a $895 estimated. street piicie, this indoor is capable of ': display images of high quality and extreme resolutions found on other monitors with greater price tags.tert:r

Honorable 'Mentions These go out to the Panasonic PM17 and the Nokia 447Xavc.

The Pauasortic PI+7 is a gr7prt chor' 'or an.all-hi-one', monitor that features built-in speakers and a microphone and won't break the bank,

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No strangers to winning awards, NEC monitors offer „'>it,~„' excellent, design and functioilality + ah features,not easily . The No@or 4475ayc. goes o'rre step in@her to,p '" ""- inateh&byt its competitors.-Everything.from a sQor-high"re@ speakers, a m icrophoneand a color video c~ a all imper one" ' ' olution of 1,600 by 1,200 at 75Hz to a vertical refresh rate of roof. It's not cheap, but it sure is unique. I@I IIII,'Il.„,:i up to 160Hz is found in this monitor,;,;,'.

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Point-of-sale (POS) systems are reaching version of its CAM II I s oftware for down into literally every kind of retail and retailers called CAM IIIw. The software now POS to all types of retailers. That wasn't always boasts a graphical user interface, with an solutions w h i ch the way things were, however. A few short Open Database Connectivity (ODBC) option areoffshootsofgeneralaccountyears back, discussions of POS systems t o allow third-party software products such as ing packages. Customized features can be were usually equated with big expensive Mi c r osoft Excel or Access to read data from introduced through add-on applications, but Unix and mainframe-based hardware, and t h e CAM IIIw database for reporting and data the beauty of PC-based POS systems are that required large budgets to hire the integra- m a nipulation purposes. they are general, commoditized solutions. tors who would do the installation.

Even large chain store retailers who preLarge multi-store chains, in particular, Systems integrators did the installation v i o usly used Unix-based POS systems are look for customized options that relate to and they all but ignored independent retailers, m a king the move to Windows technology, their specific requirements. Morochove cited concentratinginstead on the chain store based on cost and hardware performance, the example of a clothing store that might giants. However, advances in PC technology K e arns added. POS was previously an appli- want a POS inventory system that tracks have become thegreatequalizer for POS and stock by color, size and season. Retailers cation for large cusnow small retailers suddenly find they can t omers wh o c o u l d often use these POS solutions as decision actually afford to implement POS sysafford it, but POS is support tools to determine when to place certems that can make their tain seasonal items, styles or sizes on sale. moving so far down businesses run .'i;-,j< .wc the retail business Such systems might also serve as a means of $ tracking and administering business management processes. cash registers we "One of the key things in retail is to minimize your stock outs — where someone tems which prolif; a th i ng of the past. wants to buy something, but you' re out of stock — and to minimize [over-stocking] your slow-moving stock," Morochove said.

"It's the management reporting aspect which W indows technolo- y , .

—,~ the cash regis- can often make or break it for the retailer.

"These are not custom solutions, in the gy, according to Peter : z~~~ ter, or will be, I , ' Kearns, of the Calgary believe," K e arns sense that they' re created from the ground up. said. "But that's not here yet. You There are packages out there for clothing stores or other retail types. Again, for larger go to Safeway or Co-op and they still use installations, they generally take standard POS software for small electroniccash registers,but more and more they' re becoming almost a hybrid...their cash packages and add a few modifications to business.

"Because of the evolution of Windows r e g isters are really just another data entry more closely dovetail with their requirements. Very little work is done on an entirely 95 and (PC) hardware, DOS is slowly getting p o int for their mainframe systems." the boot because it's very difficult to support The fa c t that POS software runs from custom basisthese days." and to find new hardware to run DOS," he s t andard PC platforms rather than specialized POS solutions run the gamut of retail. said. "Windows-basedmachines are becomand proprietary hardware makes them a lot Thereare specific systems designed forbusiing progressively cheaper, so it's pretty well e a s ier to set up, said consultant Richard nessessuch as casinos,resorts,hotels,cruise going to be the standard, I'm sure."

M orochove, of Morochove & Associates Inc. ships, theme parks, corporate cafeterias, othLast December, for example, Fountain i nT oronto. ersfor large chain grocery stores,specialty Valley, Calif.-based CAM Data (http: //www.

He explained most popular POS applica- shops, clothing stores, and just about any type camdata.corn/) announced a new Windows 95 t i ons for smaller retailers tend to be generic of retail you can name. At the other end of the '

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P 0 I N I-0 F - S A L E spectrum, POS systems for small business 1 feature.htm) offers a range of capabilities in come ascheaply as US$99.95 for a product its CashPro software, priced at $189 for a called Advanced POS from James Enterprises multi-user version. Features include: of New York Inc. Advanced POS boasts just • cash management, about everything a small business needs in • inventory control, the way of POS, including cash register, • product/service and payment types, accounting, inventory control and customer • tracking of customers and salespersons, management functions. And al l t h at' s • cash register features, required on the hardware side is a 386 or 486 • flexible reporting, s ystem on DOS, Windows 3.1, NT o r • receipt printing, Windows 95.

• user-defined filters, The POS system software market can be • tax calculations, and, characterized as b r oad, b u t v e r tical. • network support.

According to Morochove, POS system and An example of a broad-ranging system application makers tend not to be the large can be found from POS International Inc.'s softwaremanufacturers,but rather a variety Power 110 software, (http: //www.webcom. of niche players. corn/posdex/) which sells for US$595. It 'There are many players in this busiincludes handling of: ness. I don't think it's the type of business • accounts receivable, where, say, a Microsoft could get involved • customer tracking, and take over the entire market," he said.

• inventory control with multi-store tracking, The Calgary Software Factory • sales, with both counter sales and quick sales, and, (http: //www.cadvision.corn/winsell/) is a good example of how specialized the POS • employee timecards. market is and how much opportunity there Markham, Ont.-based Trimax (http: // can be. "We' re a company that sells almost www.trimax.corn/comp l.htm) sells a variety of exclusively over the Internet," Kearns said. products under its "Intelligens" product line.

"We have three employees and we try to POS Xpress lets users capture data keep the customization as low as possible in throughout the customer contact process to improve information gathering and to better order to keep our price palatable and our target markets, says the company. POS overhead down."

The company's WinSell B u siness Configurator lets users tailor that product to Operating System addresses a variety of their own unique businessneeds. Store aspects of business, including: Manager provides in-store processing for • POS, centrally managed retail chains, offering: • invoicing, POS services,redundant data backup, cash • inventory control, management, sales reporting, data entry, • customer and vendor tracking, and, and inventory control. And, according to the • management reporting. company, TRANSnet sup"Almost everybody (in the POS ports on-line or batch communication between software market) these any number of remote days has one stores and head office, little niche or enabling credit and item that they iii « ~ « IA ' ~O l ~ i ., ~ ~ ll« debit a u t h orization want to sell. « « « • « switching, file trans• W e have t o • ««\ «« • «« • « • . «i i ~ i i "«i ' \ ' « i • fers, price updates, realize we can' t • « « ~e e~ ~ i ~ ~ program downloads, be all things to i'i • « • « ' « III I SO & « li n g gal «• « • « yl ~ 5P ~ l l • i E-mail and dataall people. Our base inquiries. niche seems to be j «i' According to shaking out to the Morochove, POS single store opera- ";«. «; g~~~~@ applications can typicaltion, or two to three ly be divided into three categories: store o p erations, general accounting systems used for POS, who want very little POS add-ons that hook into general accountcustom work done.

Our package isdesigned — even with the ing systems, and complete proprietary POS custom work — to be a decimal point cheap- applications aimed at particular markets.

Resellers typically sell shrink-wrapped er than a Unix-based system."

St. Albert, Alberta's Calido Software Inc., POS accounting packages plus many of the add-ons. The more customized POS solutions (http: //www.telusplanet.net/public/calido/

are typically sold and serviced by the package developers, sometimes with the assistance of a VAR, Morochove said.

"If you only have 200 or 300 users (of your POS system) in the entire world, there' s probably not much room for a VAR who just covers Ontario, for example. You may only get a couple of installations a year which wouldn't be enough to support you, unless they are very, very big installations."

Ingram Micro Inc. (Canada) in Toronto carriesa range of off-the-shelfPOS software that are typically generic products, according to company spokesperson Lynn Schiffler.

"Distribution tends to carry products that are just off-the-shelf, high-volume products," she said. "We may sell to VARs who then take and customize (these POS systems)."

However, she confirmed that the POS market isn't a huge opportunity on the distribution side since the market is so specialized and niche-oriented.

Kearns agrees and added that many of the niche spaces are becoming increasingly crowded."There are more and more competitors coming into this market," he said. "I see them on the Internet all the time." ~l',

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C A NADIAN COMPUTER WHOLESALER August 1897 http/twww,ccwmag.corn

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Dan McLean is a Toronto-based journalist who specializes in high-technology reporting.

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Hong Kong moves to restrict smart card use in transportation

DVD player sales are climbing After six months on sale, and with the amount of software growing week-by-week, sales of DVD-Video players were still slow but growing, according to player makers.

While no specific figures have been released by any manufacturer, estimates based on information from makers show that total until sales in Japan are around the 150,000 mark.

The latest data from Matsushita shows 214 announced titles.

I N I SSS . OT S K

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Telecom firms,retailers and parking compasmartcards to buy goods and services.The nies hoping to link up with the soon-to-be- cards need only to be passed over a scanner to launched smart card payment system for register payment, and smart card experts much of Hong Kong's public transportation were concerned about the possibility of unin may find their moves blocked by the Hong tended transactions being recorded Kong Monetary Authority.

Hong Kong's big banks also may object According to the South China Morning t o t ravelers buying goods and services with Post, numerous companies have approached the cards, as this effectively allowed transport Creative Star, a joint venture by Hong Kong's c o mpanies to act as banks five biggest transport companies, including Inarecentdiscussionpaper,the HKMA the Mass Transit Railway Corp, Kowloon s a i d that only licensed banks should be Motor Bus and Hong Kong Yaumatei Ferry a l l owed to issue cards that had no restriction Co. The companies want their customers to o n the goods and services they could buy. An be allowed the use of Creative Star's Octopus H K M A spokesperson said it had not formed a contact-less smart card to pay for goods. But f i r mview on the use of contact-less smart Creative Star General Manager Brian c a r ds to buy goods Chambers said the HKMA had indicated it "There is no black and white for this did not encourage the use of contact-less h e said

Japanese Internet business is worth U$$245 million The value of transactions made over the Internet in Japan in 1996 jumped 40 times that of 1995, according to a survey carried out b y t h e M i n i stry o f P o st s a n d Telecommunications (MPT). The statistics showed, said the MPT, • 0 0 I T • N S I N ST O C K that over half of all cyber-businesses were operated by a single person.

In fiscal 1996, the value of on-line commerce in Japan was

U S $245.2 million, up almost 40 times over f i scal 1995 The MPT said this gave Japan an eight pe r cent share of the world's on-line business m a rket Around 40 per cent of the business post ed profitsor broke even, found the survey, and 60 percent receive less than 10 orders per month, have less than US$1,720 in monthly expenditure and less than US$860 in monthly sales. The average monthly expendi ture is US$2,667. Findings showed that 90 per cent have a staff of five orless

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What are your key Web messages?

How can you makeit easier for potential customers to understand your business and buy your products?

by Sean Carruthers Growing numbersof computer resellers are tapping into the World Wide Web. Many want to enhance their regular retail operations; some are aiming to provide a completely on-line method of purchasing. Still others are finding new revenue opportunities, by helping customers build their own business presence on the Internet.

The Web is dynamic. There are boundless ways to present a business, so focus is crucial.

Here are two important considerations: 1.Does the Web site clearly convey what the business does?

2.Can the average visitor or shopper understand the site?

If you' re going to invest time and money in providing a Web presence for your company, the pages should give some indication as to what service or merchandise your company provides. For example, contrast the intangible site for Orbitz (http: //www.orbitz.corn) with that of its parent company, Clearly Canadian (http: //www.clearly.ca). While both sites have a good 'look' to them, the Clearly Canadian site states explicitly what the company does on the welcome page, while there' s hardly anything on the entire Orbitz site to indicate that it too is in the drink business.

Obviously, this example is a little extreme, but it illustrates a problem that some Web sites have.Ifa We b presence isgoing to be a useful tool for a reseller business, it must get the pertinent information to the potential customer, and make clear what the business is about as quickly as possible. Name recognition isn't necessarily enough! A small write-up detailing what the business does„or a smail product graphic on the welcome page can be useful in quickly showing what the site is about.

Clarity is particularly important when you get into the specifics of what's being offered for sale. A lot of information is presented on the Web, but there's a distinct lack of useful specifics. For example, it's fine to list all the different models that you carry, but be very clear about what these models are.

What are the differentiating features of the 52

various products listed?

Imagine, for a moment, that a customer has just walked in the front door of your store, looking for a new computer system. Without anything specific in mind yet, your customer is just pricing out the various options, to see what is eye-catching. You see them walking around,looking atsystem packages,checking out the individual components, looking down the aisle at monitors, modems, and assorted otherpieces.What' syourjob,as a professional computersalesperson?

The traditional wisdom would go like this: Approach the customer as you spot them looking at systems. Ask questions to find out what they are looking for in a computer, and demonstrate and explain the various options.

Describe the advantages and drawbacks of certain setups, depending on the customer' s needs. Detail what components and software each system came with, explain what the components do and their specifications, and outline various changes or upgrades that could be made on that particular package. Essentially, take them step-by-step through the process.

Your customers should come away from the experience with: l. A better knowledge of what they wanted from their computer system; 2. An understanding of which systems would be best for them, and, 3. A sense of satisfaction, as you have taken care of their needs.

On certain Web sites, precisely the opposite is happening. While shopping for a computer system over the Internet is by its very nature, a less personal experience than heading down to a local store, there are certain things that can be done to add to the experience.

You don't have to «dd a lot of detail, but if you' re going to put items up on-line, you should at least point out the major differences between items. Note which component is the printer and which is the modem. Provide hyperlinks to the manufacturers' Web sites, where available. If there's information you can provide for clarity, include it.

CA N A DIAN COMPUTER WHOLESALER August 1997 hn pvwnwvccwmag.corn

It is your prerogative to assume that someone visiting your Web site already knows what all your model nuinbers si nify.

However, that is equivalent to greeting an instore customer at the door, handing them a bunch of paper slips with prices on them, and sending them back outside without letting them look at the actual merchandise.

A friend of mine was recently shopping for a more powerful computer. She went looking through resellers' Web sites to find something appropriate. She waded through a few sites, checking out systems. While most of the sites were fairly easy to navigate and understand, one of the sites she came across had this system description on it:

PCP210NT/16X/1MC/32MB/2GB/2MB, VR,PCP NT/PCP ACC KIT 2GB 5400 RPM HD KIT (1) 2MB VIDEO RISER, PCP NT (1) 32MB DIMM (1) PCPRO210,NT/16X/1MC (1) PowerCenterPro Accessory Box, U.S. (1) It took me three hours and the assistance of three computer professionals to decode this little gem in its entirety. The frustrating part — this was about the most detailed information that was given on the site.

I'm notquite sure where cryptic practices like the above got started, whether it be lack of space in print ads, or computer industry shorthand. But if you are aiming your site at theaverage consumer, assume they know such basics as: computer, printer and hard drive. But expand '16X' into '16X CDROM.' Explain that 32MB is RAM and that 2GB means a two gigabyte hard drive.

Getting customers to visit your site is important. But, please — offer focus and clarity, so they understand it too. ICCW Sean Carruthersdoes Web consulting for Armchair Airlines Computer Services (hrrp:// ~. a r mchairmb.ca) in Brandon, Man. He can bereached atoneirosoarmc/Mirmb.ca.

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I NDU S T RY P E R S P E CT I V E •

Inter net Flash Reveals Intra net

by Greg Rubidge The Internet opportunity for resellers may be big, but the intranet opportunity is huge. One analogy that has been used to describe the Internet/intranet paradigm is the iceberg: if the tip of the iceberg is the Internet, then the mass of ice below is the market for intranets.

Market research firm International Data Corp. estimates that by the year 2000, Internet and intranet products and services will generate more than US$92 billion in spending. And when broken down, the future demand for intranet technologies will far outweigh that of the Interne.

According to Zona Research Inc., by 1999 spending on intranet technologies will be 700 per cent greater than Internet technology.

Furthermore, the Gartner Group says that by 1998, 50 per centof Fortune /000 companies will have intranets.

The server market alone is expected to grow well into the billions by the year 2000.

Beyond the hardware requirement of servers, there is a growing demand for firewalls to protect the intranet, server software and databases to run it and a host of peripheral software to augment the features of the intranet. And this is just the beginning. Much of the technology used to build intranets is also being used to build external intranets, often called called extranets.

One ofthe centralreasons forthe tremendous interest and the quick adoption of corporate intranets is that for most mid- to largesized companies, the infrastructure needed to implement an intranet already exists — an array of desktop computers linked together by some form of corporate network, usually TCP/IP or IPX. In today's LAN/WAN environment, employees have access to company databases, product information, services, financial and other information. Integrating this information into one "non-stop" access point — or home page, is the next step.

The growth ofintranets stems from a movement in the market-place toward a standard network technology platform and from the ROI/knowledge power created for an organization. The growth and predominance of TCP/IP (endorsed as a standard by the Internet Technology Task Force) and the fact that 95 per 54

cent of American corporations are still using legacy systems created a need/opportunity to integrate these systems.

Return on investment for intranet implementation has recently been estimated by IDC to be as high as 1,000 per cent. In addition, companies examined in the IDC study recovered the cost of their innanet within six to 12 weeks. Therefore, given the momentum in the market-place and a fiercely competitive environment, the most significant cost for businesses today is not implementing an intranet.

The widespread migration of legacy information and communication to a centralized system throughout the corporate world means that the demand for intranet technologies wiII continue to grow as more and more companies realize the potential and the necessity for such an internal communications system. Most medium andlarge businesseshave some need for internal communications — and a corporate intranet is becoming the most cost-effective and simple way to fill this need.

Through the simple point-and-click interface of a browser, employees are able to access information, run applications, collaborate on projects, communicate, search corporate data-

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than a merger ofgroupware products and Internet E-mail functionality. With the advent of the NCSA Mosaic browser and the Netscape Navigator browser, Web technology was born.

Within two years, the market for the internal W eb servers which form the core of corporate intranets jumped from zero to US$476 million.

According to Zona Research, two-thirds of all large companies are either developing an intranet or are in the planning process.

Which Companies Need To Implement An Intranet?

The following survey will help idenfify intranet opportunities: • Does the client have more than one office?

• Is the client's business dependent upon technology?

• Is there a need to communicate within or across differentcompany divisions or departments?

• Is the client's business knowledge-based/ intensive?

• Is the client currently operating on a number of different platforms or utilizing a variety of desktop technologies?

• Are the client's phone, fax, mail and couriers charges significant in relation to other business expenses?

• Are there more than 30 desktops within the organization?

• Is there a need to communicate to a broad stakeholder group?

• Is the client currently communicating elec? tronically — either internally or externally If the client answered 'yes' to three or

"The future demand for intranet technologies will far outweigh that of the Internet." bases or undergo computer-based trainingall from their workstation. In some instances limited access to certain information on an corporate intranet is given to a company's customers via an extranet.

Intranet case studies indicate an exponential growth in both users and content on intranets which leads to another benefit/opportunity — scalability. As more information is added and other features requested (such as video-conferencing or audio streaming) more servers can be added to the system on an ad hoc basis.

Intranet technologies arose in the early '90s as a way to take the increasingly popular Internet mediums, like E-mail, the Web and newsgroups and bring them into the corporation. The first intranets resembled little more

CA N A DIAN COMPUTER WHOLESALER August 1997 ht rp//wwwccwmag.corn

more of the above questions then the company will gain a significant competitive edge by implementing an intranet.

Be it a company's Web site, intranet or extranet, the medium of Internet technology is changing the way companies do business and will continue to impact the way people communicate and share information. What this paradigm shift means for resellers is an unparalleled opportunity for growth involving intra/extranet technologies over the next five to 10 years. It@i Greg Rubidge isa businessprocessanalystand consultant with Toronto-based Hype! Inc., an intranet and Internet development company (http: /Iwww.hype.corn).He can be reached at type.corn. greg@/

8 OQ'K >R E V I E W

Trio OfNT Books Provide Ranging Coverage

by Stephen Ibaraki

" %8Ãkiii~ ® k~ W e b Site H~ L f f tr iPubliebpr. pub/ i shing I l gv -9,'0-872-308g'.4,+Kt-3088'IN:0.-$7K '%~-3088&, 7 2t80883-8; 0-N2-DIPL-7 "

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Jennings (ISBN 0-7897-0251-7). This book gears itself towards experienced networking professionals and provides intermediate to advanced coverage ofplanning, budgeting, installing, and managing single- and multidomain Windows NT networks. Together with the usual information on network installation, and administration, this advanced guide includes sections on: • integrating NT with NetWare and Unix networks; • connecting Win95, NT, Win3.1x, and Macintosh clients; • setup and management of Internet Information Server, FrontPage, Internet Database Connector; • installing and administering BackOffice: SQL Server, Exchange Server and SMS server; • RAID and tape backup strategies; and, • 100Base-T, server clustering, design, optimization and troubleshooting techniques.

Be forewarned — thisbook targetsa m ore advancedaudience and assumes a good amount of computer expertise. It takes over where Hilliker's book leaves off; especially when you are researching a particularly tricky problem.

Title:/i/fanagm&g>odom NT Zegr 4 Author.Howard F. Hiiiiker Publisher.New Riders 4 k ' efz ISBN:1.88288-g8-3 Canteen1,0K pages. one CD-ROM Level:Beginner to intermediate Doser'ip@uir,."TfIe book ottntefneke''ignibntiefs " of NT admlnistrefion end setup-.'..~ Rating:8+ — Recommended for the beginner.

working, *' "Windows NT and BackOffice Integration," and 'The Windows NT Registry."

The three CDs contain more than 2GB of reference material, HTML hot-linked books Microsoft Windows NT sales are booming and there is a substantial shortage of NT experts. (on TCP/IP, ActiveX and Web Development), The cost of NT education can be prohibitive tutorials on Java Security, software utilities for you and your customers, but the current including T U COWS's "The Ultimate Collection of WinSock Software," and trialmarket trends represent a unique opportunity for VARs and consultants.

There are many versions of controls. books available — so which ones are the best?

In summary, if you are new to Windows For a well-written beginner's guide to NT networking, Managing Windows NT Windows NT, check out Ne w R i der's Server 4 by Howard F. Hilliker is recom"Managing Windows NT Server 4 ," b y mended. This book introduces the networking Howard F. Hilliker (ISBN 1-56205-576-3). field and NT servers in particular.

The task-directed guide covers set-up, basic For the experienced networking consuladministration, trust relationships and securitant Using Windows NT Server 4 by Roger ty. This book includes sections on: Jennings is a good choice. This book is supe• networking fundamentals; rior to Hilliker's but would be difficult to fol• selecting and configuring hardware; Title:Using Windows NT Server 4 „„Jg low without an extensive networking backAufber:Roger denninge: • network architecture; ground. If you want a one stop source for all • Installing the NT OS, adding and deleting Publieber.Que NT information then Windows NT 4 and Web ISBN:0-7887-0281-7 shared resources and printer resources; Site Resource Library by SANS Publishing is • setting up and modifying user accounts; vl-I necessary for a l l -networking installers, ~I . intermediate'te-+imoetf • RAS and RAID solutions; Descript ion:The book contains good coverage administrators, and experts. The question here of setting up and working with Windows NT • working with the registry; becomes oneof cost,although the amount of including fine-tuning and optimization.

• NetWare and Macintosh connectivity and supplied material is well worth it. The CDs Rating:A- — Recommebded for networking' -":, =, NetWare migration; and, alone could easily justify the investment. consultants.

• domain trust models.

One final thought, computer books usuManaging Windows NT S erver 4 For the ultimate in resource/reference ally in lag the market-place and so you should includes a CD-ROM-based Windows NT sim- material, SAMS' "Windows NT 4 and Web not expect the latest releases or patches to be ulator/tutorial for performing common admin- Site Resource Library," is unmatched in con- covered.To provide some measure of protecistrative tasks, a NetWare to NT translation tent. I strongly recommend this collection for tion, all the books reviewed above contain index anda complete command reference. all NT specialists. With six volumes and three Web links that you and your customers can Hilliker's approach is gentle, carefully CDs, the package fall into the "Everything use to download the latest news, patches and building key networking concepts before you ever wanted to know but were afraid to updates. [ltui moving tomore advanced materiaL The only ask!" category. caveat is that you often want more details, Specific volumes include: "Windows NT Stephen Ibaraki,ISP, is co-convenor of the which the book does not provide.

Installation, Configuration, and C ustom- BADM Computing Program at Capiiano For greaterdepth and more substantive izaffon," "Windows NT Internet and Innnnet College, which is CIPS, Novell, Microsolted. He can be reached at sibaraki I capcoverage, network consultants will want to Administration," "Windows NT Internet and certifi use "Using Windows NT Server 4," by Roger Intranet Development, "Windows NT Netcollege.bc.ca. '

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hupltwwwccwmag.corn August 1997 CANADIAN COMPUTER WHOLESALER 55

MARKETING !!~C o:l u "tntt'"''i'd%

a ~ +ij>l •

by Cathy Cowan

"For many resellers, huge campaigns are not in your best interest when you are

only servicing a specified region or certain 'niche' market."

Contrary to your accountant's opinion, marketing is a necessity — not a luxury item. To truly maximize y ou r b u s iness's potential you need the widespread visibility that marketing generates. The reason behind marketing is simple — people can'tbuy from you ifthey don't know you exist.

'Visibility' d oes not automatically equate with big bucks and international marketing campaigns. In fact, for many resellers, huge campaigns are not in your best interest when you are only servicing a specified region or certain 'niche' market.

The key to effectively increasing your visibility is determining your target market.

Who will buy your products and services?

Where are you going to make the most money with the least amount of effort? Which industry applications are best answered by your productofferings? What are the advantages and limitations of your staff? If you know you only have the ability to properly service clients within a 75-square-kilometre area,and your particular products and services best lend themselves to graphics firms, then you should be focusing your marketing efforts on these individuals. Once you' ve created some visibility for your company with these companies then you can expand your target market — for example, to include companies within 75 to 100 km, or perhaps the financial industry.

After establishing your target audience, the next logical question is: "How do I make thesepeople aware of my company?" There are numerous ways to promote your company without spending millions of dollars, including your basic 'word-of-mouth' and 'networking' approaches.

H owever there are also some cost-eff icient marketing activities that you can proactively initiate to generate widespread visibility in your target markets.

56

Speaking Opportunities Speeches are a great opportunity for you to gain some visibility in your community and meet some new prospects at the same time.

Many local organizations including the chamber of commerce, usergroups and trade shows, are on the look out for people to shed light on new technologies and solutions.

Offertakeaways after your speech — such as an informative brochure or article, with your business card stapled to it so prospective clients know how to get in touch with you.

Sponsorships A multitude of organizations and events are always looking for money in return for "free advertising." Again, which events or organizations you sponsor will depend on which markets you are targeting. Sponsoring your local arts night might be a natural tie-in if you' re targeting the graphics artist market but you might be better off to sponsor a school event if you' re targeting the home market.

Donating equipment to a worthy cause can alsogain you some greatexposure — be sure to tell your local community paper so they can write an article about your generous donation as well!

Advertising Advertising does not necessarily require you to mortgageyour house. Advert ise in technology or business publications if they can help you reach your target regional or industry target markets. If you' re aiming for the graphics market, think about advertising in a graphics publication. Or if your geographic region is small, try advertising in your community paper. Classified ads can also be an inexpensive, yet effective, place to advertise if you' re targeting SOHO buyers.

Providing a value-add right at the beginning of your relationship can demonstrate how dedicated you are to customer service — a determining factor for many buyers. Or, if you have the capacity for many attendees, consider advertising the seminar with flyers or ads targeted to your established target market. Don't forget to invite your local media to encourage some newspaper coverage of your event as well.

Sales Letter A cost-efficient alternative to direct mail, a sales letter is quite simply a well-written letter designed to introduce your company, products and services and to promote yourself to your target market. After you' ve written it, and had it edited by one of your colleagues to ensure it reads well, send it to your entire list of targets.

If product brochures are available, include them with the mailing as additional information. You should plan to distribute sales letters to your list on a regular basisbut make each letter different to present prospects with some new information with each correspondence.

Ask your partners to contribute to the nominal costs associated with some of these marketing suggestions — many large vendors offer their partners funding to help you sell more oftheirproducts.

Marketing, if done smartly and efficiently, does not have to cause your accountant any grief — except for the work of calculating the revenue growth and deciding what to do with the profits! !«N The author is a senior consultant with the

Training Seminars

advanced technology division of Shandwick A great way to generate attention for your Canada/Continental Communications, a full company is to hold an event. Invite a few of service public relations firm with o ffices your targeted prospects to a training or inforacross Canada. She can be contacted at mation seminar held a t y o u r o f f i ces. ccowan@shandwi ck corn.

CA N ADIAN COMPUTER WHOLESALER August 1997 nup//wwwccwmag.corn

T ECH N O L O G Y

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by Alan Zisman

Once upona time, choosing a CPU for a PC was simple, relatively speaking.

Intel's product line included th e n e west, hottest, and most expensive processors, along with a range ofolder offerings — lower priced, lower performing, but guaranteed compatible. Other companies, most notably AMD and Cyrix — but also IBM, Texas Instruments, NEC and others — offered lowprice, low-end equivalents that were often souped-up clones of Intel's previous generation, providing good performance for the price.These were rarely found on namebrand units, or in big business's machines, partly out of fears of potential incompatibilities.

This pattern has held true through several generations of PC processors. When 286s were hot, NEC offered the high end of the low end, powering turbo-XTs that were faster than any powered by Intel's previous generation. As Intel pushed its 386-series, AMD and others sold 16MHz, 20MHz, and 25MHz 286s that rivaled the performance of a lowend Intel 386. Later, AMD similarly offered 40MHz 386s that could keep pace with Intel's more expensive 486/25s and more recently, clone 486/100s that kept pace with the previous season's Pentium/75s.

The New Scenario Things are more interesting now.

Buyersare faced with a wider range of choices than ever before from Intel, and with some very competitive alternatives from Intel's competitors. From Intel, one can choose between: • the classic Pentium series, maxed out at clockspeeds of 233MHz, with major price reductions expected; • MMX-enhanced Pentiums, at speeds of 166MHz to 233MHz; • PentiumPros,also at speeds of 200MHz; alld,

• the new Pentium II CPUs, (previously code-named Klamath) with MMX enhancements and speeds starting at 233MHz with some models pushing 300MHz. From the cloners, we' re seeing releases of high-end models like: • AMD's K6 offering the power of a Pentium Pro with MMX enhancements, but without that processor's limitations running Windows 95; • Cyrix's brand-new 6X86MX, formerly known as M2, along with its MediaGX processor aimed at l o w-cost models, including Compaq's Presario 2 100.

Current MediaGX models run at 120 and 133MHz, but Cyrix is planning to ramp the speed all the way to 200MHz by year' s end.Cyrix claims it s 6X86MX processors rival Pentium II power at about half the price; • Upcoming releases from new-to-the-CPU battle — Integrated Device Technologies (IDT), aimed at the low-end market; and, • The hottest competition is between the new generation of CPUs — Intel's Pentium II vs. the K6 and M2.

Pentium II Quandaries At the heart of the competition is a key question of design. With the Pentium II, Intel has broken with the designs used in its previous CPU models. This CPU is no longer socketed into the motherboard. Instead, along with its cache chips, it resides on a special card, fitted into a companion slot. This entails some major motherboard redesign, and commits manufacturers to Intel-only standards.

While offeringperformance on a par with Intel's high end, the clone CPUs are both designed to be compatible with existing motherboard designs using the Pentium's Socket 7 — a benefit for smaller motherboard manufacturers.

The cloners believe that Intel is trying to push the industry towards expensive and unnecessary new proprietary standards, while the Socket 7 still has a lot of life to it. Intel

counters that its designs are the wave of the future. But there's a catch — current shipping Pentium II machines are being forced to use an older supporting chipset (the 440FX), which is a drag on the CPU's potential. The 440FX doesn't even support some features a vailable for t h e l e ss-powerful M M X Pentiums, such as SDRAM memory and the ATA-33 bus for faster disk access. As a result, early testers of 300MHz Pentium II systems have found much lower overallsystem performance than they'd expected. The new 440LX chipset supporting higher bus speeds and Accelerated Graphics Port, among other features, won't be widely available until the end of 1997. With the new chipset, Intel hopes to push bus speeds to 100MHz and CPU speeds to 400MHz during 1998.

Don't be surprised at more TV ads pushing 'Intel Inside' brand-awareness. For the short-term, expect to see: • Cyrix selling to the low-end, such as lesser-known brands aimed at the U.S. mailorder market, and to some notebook manufacturers, attracted by the lower-power demands of its CPUs; • AMD making some inroads into the midpriced market,with a few name-brand manufacturers including these CPUs in their product lines, and some penetration into the big corporate market; and, • Intel keeping a stranglehold over the bulk of the market.

• In the next issues, we' ll look at these CPU lines in more depth. ICMI Alan Zisman is a computer journalist and teacher living in Vancouver. He can be reached at a zisman@cyberstore.ca.

rrnprttwwwccwmag.cpm August 1997 C ANADIAN COMPUTER WHOLESALER 57

T HE

PU NDI T C ol u m n

For Some, The Channel

Is Noi Working

by Graeme Bennett

One of the overwhelming themes observable at Comdex/Canada'97,aside from an apparently endlessarray ofdigitalcameras and the emergence of DVD as The Next Big Thing, was the inescapable sensation that, for many, the channel has failed.

Five points to consider: 1. Quality dealers often can't compete on price with megastores. Customers can buy products cheaper at a superstore.

2. Customers don't trust many computer salespeople, and often for good reason.

3. Channel-oriented tradeshows (and that's what Comdex is) are, for a growing number, not a worthwhile investment.

4. Desperation ploys are becoming more common as growing numbers of dealers resort to unbundling software from scanners and valueadded bundles designated "not for sale without hardware purchase."

Increasingly, smaller dealers import academic editions of leading titles like office suites, graphics apps and utility packages. Others

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resort to: the grey market, reboxing, exchanging warranty cards and other dubious activities that often end up damaging customer relations as warranty and service issues backfire.

5. While many vendors are still trying to make Web sites pay, a few have struck upon the right mix of form and function to see their Web-based salesefforts pay off.

At Comdex, disparate events such as no-shows of distribution giants Ingram and Merisel, and the absenteeism of IBM, Compaq and Apple, added irony to the presence of exhibitors such as Dell and Power Computing. Dell, of course, has done nearly all the right things.

The company reportedly sells $100,000 worth of product per day via its Canadian Web site (not to mention the often-quoted US$1 million per day the U.S. parent is said to rake in on its site). And, aside from a string of quality-control problems that have dogged Power Computing, that company is apparently employing much the same strategy. That Webcentric/mail-order approach has allowed both to gain unique and high profile positions in their respective categories.

Consumers and corporate buyers didn't go to mail-order solutions first. Statistically, the average networked-computer purchaser is on his or her second to third upgrade cycle and, in many cases, they' ve seen both the small dealers and the megastores let them down. In addition to pricing issues, systemic problems such as reboxed demo models, missing cables, and other aspects of poor quality control are what drove many buyers from the small dealerships into the megastores in the first place. There, they found salespeople not only woefully undertrained on the dizzying array of technical information required to effectively serve a sophisticated computer systems purchaser, but the deals with the devil â&#x20AC;&#x201D; the kickbacks, spiffs, commissions, limitedmarket product bundles and other behind-the-scenes product ploys of the dealers served to destroy a further degree of trust. In desperation, jaded users turn to the production-line process and preconfigured predictability of the Dells and Power Computings of the world.

One of the best booths at the show was one assembled by Torontobased digital video specialists Vistek. The booth was festooned with literally thousands of products presented in a hands-on environment that allowed customers to compare, for example, the relative merits of digitalcameras from severalmanufacturers in a side-by-side comparison.

This is the way consumers shop; it makes the most sense as a sales strategy.Vistek offered productbrochures and catalogs thatwere both attractive and extremely informative, and provided what seemed to be a glimpse of the true soul of the company. The technical experts were there, demonstrating (and selling) complete solutions in a highly focusedand generally high-margin productcategory.

While it may be true that multimedia is what the computer world promotes when there's nothing else happening, it is enjoying considerable interest right now. Those who can put the right pieces together stand to reap the rewards. IIIII

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Graeme Bennett is Managing Editor at The Computer Paper and is a former computerreseller.Based in Vancouver, he can be reached at g raeme@lcp. ca.

CA N ADIAN COMPUTER WHOLESALER August 1997 hrtpltwwwccwmag.cpm

B USI N E S S B A S I C S C ol u m n

Us e Internal Financing To Vnur Advantage

by Douglas Gray As a reseller, you are constantly dealing with cash flow challenges. It is the nature of the business. Sometimes you need extra funding for seasonal inventory, special promotion demands or for other reasons.

Many business owners who are unable to access money or sufficient money, in terms of debt or equity capital may be forced to reassess their needs, resources, and business m anagement.

For example,quick handling of accounts receivable, effective inventory control, customer pre-payments, and cutting down on unnecessary expenses can free up funds not otherwise available. It forces your business to operate in a more efficient fashion. This will lessen your need to look outside the business for financing.

You may already be effectively using the following techniques. If so, a review will reaffirm your positive managerial style. If you are not applying some or all of these methods of internal financing, they are worth considering.Here is a briefoverview of some ofthe options:

Customer Prepayments A business can encourage customers to make a deposit, prepayment, or payment on delivery. This is a very common technique in the mail-order business of course, or where special or customized orders are requested.

Inventory Control Effective inventory control will ensure there is the right amount of stock to satisfy customer demand. Determine guidelines for proper inventory purchases. Adjust your purchases to meet the peaks and valleys of your annual business sales. Too much money tied up in slowmoving inventory, debt-servicing payments on inventory loans, and lost customer loyalty due to insufficient stock are costly to your business.

Collecting Receivables Receivables can be reduced by tighter creditgranting policies, better monitoring of

accounts, and more effective collection policies. You may wish to consider credit cards or cash onlyas a means of sales.

Delayed Payables Establishing a good working relationship with your suppliers can result in extended payment terms.Make certain they are aware of your loyalty to that firm and your repeat business. You may be able to negotiate a discount or further discount on volume or regular purchases.

Restructuring Payment Arrangements

Renting or Sub-letting You may decide to rent space for your retail location, rather than buying. Naturally, this will enhance your leverage and your cash flow. Possibly you could sublease some of your existing space to a non-competitive but complementary retailer. By subleasing space you can offset your monthly payments, thereby increasing your working capital. There could also be cross-marketing benefits with increased sales to you.

Stringent Management

By reviewing the points discussed above to determine how to conserve on capital and There are times when a small business is not save on expenses, financial resources can be able to maintain monthly payments plus freed up and the business risk minimized. interest on loans or repayment to creditors. You should analyze the financial condition By using creative negotiating techniques, of the business on an ongoing basis. For there are ways of getting around short-term example: problems.

• Are salaries too high?

Some alternative repayment plans that • Are you taking out too much from the comyou may considerinclude: pany for personal earnings rather than keep• A period of grace for principal loan paying it in the company for working capital? ments during the start-up period of your • How do the company's costs of goods and business operation; other expenses compare to other companies • Blended payments that feature a lon ong in the industry? amortization period resulting in low pay• Is the lease too expensive? ments of principal in the early years; • Are supplies being wasted?

• Graduated payments — that is, low pay• How do actual expenses compare to budments on principal in the early years and geted expenses? higher ones later on; and, You know best where expenses can be • Payments of principal during the high seatrimmed from the operation. In addition to son only, so that the business does not have controlling expenses, you should always be a cash-tight period during the low sales lo ooking for ways to increase profits, sell survolume season. pIus . inventory or assets, and maintain an effective receivables collection program. ittI< Selective Product Lines Try to limit your product lines to the ones that suppliers give you the most favourable terms on and which have the highest sales turnover and profit margin.

Fixed Assets You may wish to sell your assets to a leasing company andlease them back,thereby freeing up cash for working capital purposes. On reviewingyour assets,you may feelthatsome of them are not necessary to the business and may be sold to free up additional cash.

Douglas Gray, LL.B. is a Vancouver-based lawyer by training, speaker, columnist and author of l5 best-selling business books, plus a real estate investment software program.

His books include The Complete Canadian Small Business Guide and Home Inc.: The Canadian Home-Based Business Guide (both by McGraw-Hill Ryerson), Start and Run a Profitable Consulting Business and Marketing Your Product (both by Sel fCounsel Press).

htipttwwwccwmag.corn August 1997 CANADIAN COMPUTER WHOLESALER 5 9

P ROD U C T S ROM drive that connects to a computer via the printer port. The Backpack Bantam is designed as a plug-and-play installation: simply connect it to the parallel port of any windows PC, and then plug a printer into the back ofthe Backpack Bantam. The dhrve is ratedat up to 1,200KB/sec. on an enhanced Parallel Port (8X speed), or slower on unidirectional or bi-directional ports (between l00 and $30 KB/sec.). The dr'ive weighs 2l ounces,and hus dimensions of Ix8x6 inches.

The basemodel of Backpack Bantam has a Canadian retail price of $369. A version with built in stereo sound capability costs $469. In addition to the new Backpack Bantam, MicroSolutions also manufactures other parallel port mass storage d e vices, including an 8G B t a pe drive, a 650MB PC/CD drive, and external Boppy and hard drives. For more i n f ormation, c o ntact htlp://www.microsolutions.corn or ca)I I-800-890-7227.

CD-ROM is for notebooit PCs Most notebooks currently in operation ltl«k iin iiltei'-

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DeKalb, lll.-based Micro Solutions Inc. has releasedthe new Backpack Bantam, an incredibly compact, sleekly designed CD-

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InultlplePCs to share Access Quebec's Prolec Microsystems lnc,has released the latest version of its WebShare product, which allows up lo three PCs to share one modem, phone line. Internet account and IP address.

According to Blanca Nova, marketing manager for Prolec, "Small organizalions have embraced the WebShare concept because il beats lhe high cost of multiple Internet accounLs, and now with this new releasesupporting higher speed modems, users can be even more productive. But, while the new WebShare is faster than the previous version, geuing started is still simple...Just connect WebSlhare to your phone linc using the model with integrated modem, connect up to three PCs to the WcbSharc using serial cables provided and instantly give Intcmet access to three users."

The baseversion ofWebShare, designed to be used with an external modem, has a suggested retail price of $345, and is aimed at the SOHO nmket.

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At a time when PC games technology is also developing advanced 3D capability, the Nintendo 64, which retaiis for less than $200, offers the smoothest, fastest 3D rendering in the consumer market.

Developing games for the Nintendo 64 is a difficult and expensive task, as it requires high-end Silicon Graphics developers' workstations and expert-level 3D animators and programmers. As well, the N64 uses ROM cartridge technology, instead of the more common CD-ROM disks common to most current multimedia systems. This means that for many developers, developing on thc N64 is more of a financial risk thun they «are to assume. Tile upside, though, is that developers who commit to the N64 platform lend to be the best and most technically capable in the games software lnduslry, and most of the existing N64 games are held to be first rate, The reverse is true on lhe PC: the vast majority of CD-ROM titles range from mediocre to bad in quality.

Many households with PCs have resorted to buying N64s as a 'second entertainmenl system„' since it can free up lhe 'real' computer for home office and school work, for about a tenth of the cost of a complete PC system. Nintendo representatives claim that about 40 N64 cartridge titles will be available in Canada in time for the holiday season this year. CCIV had an opportunity lo test the latest N64 title launched this summer, Star Fox 64, and found it to have excellent game play, along with beautifully rendered 3D environments. Upcoming titles include Tetrispherc, a 3D version of the popular Russian Tetris garne, developedby Canadian developer H2O, and GoldenEye, the Rare Ltd. adaptation of the James Bond movie.

For more information, contact (604) 279-1600.

CA N ADIAN COMPUTER WHOLESALER August 1997 hrrp/iiewwccwnvagcwn

P E() P L E marketing, including marketing progmms,competitive analysis. marketing services. adverti»ing, public relations. and analyst relations.

CAIP elects executive

Mlcroselt Canada CN(ii Promoted Jeff Dossett, general ma,nagcr of Microsol'I Canada lnc. since August I 996. has been promoted to Microsoft Corp.. in

Redmond, Wash. (The specific promotion had not yct hccn announced at prcsii time.)

Microsoft says the Canadian subsidiary grew 25 per cent under Dossett's direction.

Dossett is chairman of the board of directors of Gil)s in Kind Canada, a charity for product philanthropy. Hc is a member ol' the Advisory Board of the Queen's University MBA for Science and Technology program. and was president of the Canadian Alliance Against Software Theft (CAAST).

Microsoft said a separate announcement will be made about the appointment of a new general manager. In the meantime, Microsoft Canada's Strategic Management Team «vill manage Canadian operations. reporting directly to Frank Clegg, Microsoft Corp. vice-president, central region.

The Canadian Association of I nternet Providcrs (CAIP) — a lion-profit alliance of 70 companies in Canada's Internet industry. has elected a nclv cxei:utivc board. Mafgo Langford, from iStar internet inc., was elected chair of CAIP. Other members of the board include: vice-chair Rob Hall (Echelon llntcmet Corp.}. secretary Bill Weal (BC Tcl), «nd treasurer Scott Knapman (Bell Canada).

Last November, CAIP announced the development of a voluntary code of conduct lor Ihc organization's members. Thc organization plans to work on issues with government. and to represent the Canadian Internet industry to international Internet standards bodies.

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Conling from the packaged goods industry, McClelland will bring a different perspectivee to the position and will apply some of that packaging knowledge to Merisel's operations. said Merisel Canada president Tom Reeves.

Set. 7-S

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(NB) — Matsushita Electric Corp. of America has announced that Yoshinori Kobe, 58. has been named its chairman and CEO, Kobe is a member of thc hoard of MECA's parent company. Matsushita Electric Industrial Co. Ltd. and is responsible for Matsushita's overall operations in North America.

Thc coinpally says Kobe Jonlcd Matsushita Electric in l962 after graduating from Japan's Sophia University with a degree in law Hc has held executive positions in Malaysia, Japan and the United States.

Tandem appoints VP

Microsoftgets new CFO

(NB) — Tandem Computers Inc. has appointed former exec with Newbridge networks, Doug Wheeler, to the position ol' vlcc-president. corporate marketing.

He will report directly to CEO Roel Picper.

Wheeler will be responsible for reinforcing and evangelizing Tandem's corporate image in the market-place.

Before Newbridgc/UB Networks, he was at Unix System Laboratories and Software AG. In lus posmon asvice-president of marketing at UB Networks, hc oversaw all corporate

(NB) — Micfosolt 'Cofp. has named Gregory B. Maffei CFO. He replaces Michael W. Brown, who will reportedly retire at the cnd of thc calendaf ycal'.

Manei has reportedly served as vice-president for corporate development since l996 and as treasurer since 1994, As CFO. hc will be responsible for thc company's worldwide (inance organization.

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Adobe loses vice-President (NB) — John Bfandon„vice-president and general manager. North America sales aad support for Adobe Systems lnc, has resigned, sAcr IO years with the company.

Hc will become CEO and president of Acadcilllc Systcnls Corp.

Adobe says Manuel R. Freitas. vice-pfnident of customer support, will take over his responsibilities on an acting basis. until the company lmds someone to replace Brandon.

According to the company. Brandon "grew the North American application sales opcratiion significantly and oversaw the smooth tfarisition in Seattle from Aldus Corp. Io Adobe when Adobe acquired Aldus in l994."

Matsushita names CEO

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Bfown Joined Micfosott iil l989 as treasurer, and was promoted to vice-president for finance andCFO m l993. nrrp Jhvwwccwmagcpm August 1 997 CANADIAN COMPUTER WHOLESALER 6'I

T HE L A S T W O R D C ol u m n

by Douglas Alder

ulhit 40 years old this year, and for me it is a time for introspection and thoughts onhow I plan to spend the rest of my time on the planet."

The party's been great, but it is time for me to go I will be ending my term as president, publ isher and e d itor a t Canada Computer Paper Inc. as of Sept. 30. We have a new publisher, David Ritter, who will be operating from Toronto (the balance is restored, the universe is whole again).

I have been working with David to transfer some of my knowledge and ideas for futuregrowth. He comes to the job as a seasoned publishing executive with more than 17 years of marketing, sales and general management experience with Maclean Hunter Publishing and Baxter Publications. He has hit the ground running and although some days his head is spinning with all the new things to learn, he is absorbing quickly what is needed tokeep the company going and growing. His mandate is to continue the successful growth we have experienced and to "export the revolution." (You can contact David Ritter at publisher@tcpon.corn.)

My Reason For Leaving In 1995,Canada Computer Paper Inc.,the company I started almost 10 years ago, was purchased by Montreal-based Hebdo Mag Inc., the world's largest publisher of classified ad format publications, with publications in Canada, the U n ited States, France, Holland, Sweden, Italy, Switzerland, Poland, 62

Russia, Taiwan, Thailand and Puerto Rico. point. Obviously th e s t aff a t C a nada As some of you know, when I originally Computer PaperInc. have been key to the sold the company two years ago to Hebdo development andsuccess of the company.

Mag Inc., I was given a two-year manage- You can read the masthead of our magazines ment contract. That contract is now up, and I to see the names of the 75-plus people who feel it is time to move on. make it all possible each month.

When I sold, I did so with a view to We would like to specifically name spending more time with my family. I plan to some peoplewho have been key to the longtravel with my wife and our four children. term development ofthe company; John Our kids are home-schooled and so this will Oliver, national sales manager; Hari Singh be one big geography lesson for them. We Khalsa, associate publisher in Vancouver; would like to see some of the world before Patricia Fitzgerald, marketing manager and they get too old and launch off on their own. associate publisher in Calgary; Suzanne We plan to travel for at least two years, before Fitzgerald, Winnipeg manager; Graeme considering any new projects.

Bennett, managing editor; Christine McPhie, I have enjoyed my time with the compa- corporate controller; Tino Wong, operations ny immensely and love the work that we have manager in Toronto; Einar Murchison, assobeen doing, but I hit 40 years old this year, ciate publisher for our Eastern Edition; Jamie Leighton, western key account manager for and for me it is a time for introspection and thoughts on how I plan to spend the rest of CCW; and Judy Prange, associate publisher my time on the planet. for CCW. My wife Kathryn and I started The We would also like to thank our many long-time and loyal advertisers who have Computer PaperinVancouver in 1988, and expanded the publication into a cross-Canada made the journey possible. Finally, we thank publication, with editions that provide cover- you the readers who keep reading, keep using the magazineas a source for your purchasing age for Vancouver,Calgary, Edmonton, and keep telling advertisers you saw their ads Saskatoon, Regina, Winnipeg, Toronto, in our publications. Oh yeah, we would also Ottawa, Montreal and Halifax. Along the way, we p u rchased Toronto Computes, like to say thanks to our Moms and Dads.

Computer P l ayer, C a nadian C o mputer One More For The Road Wholesaler and Government Computer. We also launched Quebec Micro! and Ottawa You will probably get at least one more colCoinputes! in the process. With 1 1 different umn out of me before I leave on our roundthe-globe trip. The management of Hebdo editions and a circulation somewhere over Mag has asked me to send a postcard or arti640,000 copies a month, we can lay claim to being Canada's largest computer publishing cle once in awhile from the road, so don't be surprised if my smiling face shows up on company â&#x20AC;&#x201D; not bad growth for 10 years. I am happy with where I am leaving things. I occasionfrom some far-offplace, with an feel I have achieved some of the goals I set opinion on global computing.

Enjoy the issue. out for myself, or saw along the way.

Our Oscar Speech We would like to thank the many, many people who have brought the company to this

CA N A DIAN COMPUTER WHOLESALER August 1997 ht tp//wwwccwmag.corn

Douglas Alder is Publisher of Canadian Computer Wholesaler.He can be reached at publisherÂŽtcp. ca.

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