The OA procurement model (phase 1) proffered here is a combination of the TCO procurement model and the linear progression model. Additionally, not all of the detail for these process(s) are published here, please contact us for a complete version.

Now we know that open standards do not exist, thus if we stated GHz only for the IT microprocessor standard chaos would prevail and TCO would be negatively impacted. Thus, the OA model proposes to take a step in the direction of an open architecture by naming the second largest vendor in the marketplace into the IT standards. In this case for the microprocessor, AMD. We will now study to see if this can be accomplished successfully and improve TCO.

The primary concern now becomes the single desktop image and it appears we are moving towards the multiple image management scenario, not a positive for TCO. Note: During the process of the Qtrly Desktop/laptop selection, caveats are outlined for each desktop/laptop selected. This is done because not all laptops/desktops are chosen for primary enterprise building. Thus, it is proposed here (phase 1) that if concerns do exist, that the enterprise use caveats to protect the enterprise areas of TCO concern.

The above slide represents PHASE 1 of the micrprocessor integration plan. Now lets examine the value(s) gained by PHASE 1 involving an AMD based laptop/desktop into the procurement expression. For this we will take a premature peek at one facet of the OA value pyramid, values grow as we descend.

1. Component Pricing Pressure. The delta value between AMD and Intel is $40-$80.
2. Component Performance Pressure. Remember the exorbitant premium price structure. What we are looking at is years of MHz performance leading to improved longevity or improved resale value.
3. MDF pressure. Have you heard the comment, "they bought the business". That's MDF dollars at work. We have a case study showing a $200 differential in a final procurement document, the chip delta is ~$45, the additional $155 difference in cash can only be MDF.

In conclusion, you can open your standards for the microprocessor. Is it perfect, no. Does it have value and improve TCO, YES. To better define why we should move forward with this immediately our next section details the value(s) for the individual enterprise, its community, and the global infrastructure.