3/14/2005

Better Computer Chips

In this world of growing technology it is important for computer companies to keep up. The article titled "Super Cell", http://biz.yahoo.com/fo/050127/e77d9f1fe84a7208eec1dd0d6df251c4_1.html, talks about the new generation of computer chips. The new chip will power the new Playstation 3, and will be produced by Sony, Toshiba, and IBM. It will make computers go "so fast there no point in talking about the number". I think the technology is an interesting industry in that is changes rapidly and if companies are not able to keep up with technology they will be left in the dust. Companies such as Dell who use JIT inventory will be the most successful in the long-run, because they can adapt easily to the changing industry.

1 comment:

Dr. Tufte said...

-1 on Ann's post for a poorly formatted link, and on Tom's and MEG's comments for spelling errors.

This is a good post for delineating two effects of technology (this is more of Macro. topic, but that's OK).

It turns out that technology both helps and hurts firms. They are helped by the aggregate level of technology - how much is out there in the society around them. For the most part, technologies that are not pervasive don't help a firm that much. Alternatively, firms are hurt by their investments in technology - it costs a lot of money. So managers have to be thinking about buying what will be adopted by everyone else before it is clear what everyone else will actually buy.