Your decision today.


These are the three values you open your procurement expression too, now lets outline their value to your enterprise:

1. Microprocessor pricing pressure: The delta value between microprocessor chip-sets for the desktop or laptop processors fluctuates anywhere from $40 to $80.

2. Microprocessor performance pressure is the difference between where you purchase today in the Ghz range vs. the highest performance available. For the Enterprise this is between 500MHz and 1GHz. Estimated value to gain is between 200MHz-400MHz, or ~ one year of longevity.

3. Market development funding pressure which is nonexistent today for your enterprise can be estimated to fall between $20 to $100 dependent upon the competitive strategies you employ.

Immedite valuel, 1x + 2x + 3x = $60 + 200MHz on the conservative side. Followed by the local social and professional segments surrounding the enterprise. For instance, once the enterprise gains these values from opening the standards the associated partners will see this, local government will follow suit and school systems have the most to gain from the experience of competitive microprocessor procurement.


MORE IMPORTANTLY, your enterprise has taken the necessary leadership measures to move the global microprocessor market towards an open architecture, see below.



The big picture, from the top of the pyramid descending we see the now familiar value(s) of competitive pricing, competitive performance and competitive MDF value attained by opening the standards to a second vendor. (E/I) External and Internal supply chain competition is attained when the vendors meet on equal footing in the marketplace. It is projected this will require upwards of 15 Fortune 500 enterprises to change their procurement expression and begin the slide. On an important side note, it is the opinion of the OA project that the slope of the introductory cost line is determined by a competitive E/I supply chain.

The bottom of the OA value pyramid holds the greatest values and the gateway to global value. Competitive Open Architecture values means the quickest defeat for closed architecture initiatives and the tremendous waste they produce. Conversely, it means the greatest acceptance and focused resources from our global supply chain for superior technological advancements.

But most importantly these values now begin to move rapidly through the non-leadership segments and hammer away at the critical digital divide. Lets imagine the microprocessor over the past two decades exhibiting the attributes of the open architecture hard drives and RAM:
 


Introductory chip cost < $ 100 for 90% performance (more longevity), no shortages to strip value from the supply chain, etc. Without going into detail we could grow the global desktop population 10% per year with no added cost or manufacturing overhead, an incredible impact on the non-leadership segments like education segment and digital divide.

Why would a Fortune 500 enterprise not move its procurement expression in the direction of an Open Architecture?

We have yet to answer this question.