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Is Technology Leasing Still Popular??

Posted on 2004-09-18
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Last Modified: 2010-04-26
Our organization has to standardize on a common PC configuration and most all of them need to be updated in order to handle Windows XP. We need to purchase approximately 100 desktops. What is the best. most cost effective method of purchasing these days? A few years ago, I was hearing the term "Technology Leasing" - is that still the best way to go?

Thanks for the advice.

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Question by:bharty
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Expert Comment

by:katacombz
ID: 12091929
technology leasing was quite popular during the Y2K scare and after since technology was growing as an exponential rate.
now the changes are slowing down and today's technology will still be acceptable 5 years down the road. we are not seeing bus speeds processor speeds and new operating systems every year.

so i believe that it is worthwhile to purchase the equipment outright now. I am a private IT contractor and service many organizations in my area, and that is the reasoning i give to them with the same question. and i am seeing other companies that when their old leases expire purchasing new equipment.

the main thing to be concerned about is the length of the warranty
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Expert Comment

by:XSINUX
ID: 12091941
Probably you can get the best Deal from Dell Computer Corporation with the best Warranty and after Sales Support. Not to mention their Open Manage Application ( Dell Open Manage and Client Instrumentation ) . Simply is superb ! The Dell Desktops Rocks. I would suggest you to have a talk with Dell Sales and find out about their Quote.

Cheers
Sinu
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Expert Comment

by:Callandor
ID: 12093971
Our company uses Dells, so I am inclined to believe they got a good deal.  The equipment is reliable, so I am satisfied with it.
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FatherErvin earned 500 total points
ID: 12102069
Leasing can be good depending on several factors of course.

If you can find a lease term that coincides with your desktop lifecycle then your in good shape. You know that the PCs will have to be replaced in X number of years anyhow why not lease them for that exact amount of time. Make sure that you work in a deal for onsite support for the duration of the lease. This way you don't have to pay for the full cost of the PCs as we all know come time to replace them again, you will not get anything for them and will have to deal with the hassle of getting rid of them.

Lease extra pcs so that you have spares!

Get one system in advance and test it out. Maybe create a standard image so that you can have the systems pre-imaged with your OS and Software. This will save YOU a great deal of time. We just had an order of 77 PC from Compaq and we had them all pre-imaged before they got here with our own image, it was great. I think they charged 10$/ system. Well worth it.

Leasing is also a great tax write off for your company.  

Cheers,

fE
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