Knowing when best to purchase computer hardware
Vishnu K. Mahmud, Contributor, Jakarta
Everyone knows that when you buy new and innovative computer equipment, price is bound to be at a premium. So the prudent thing to do is to wait until the prices go down. Problem is, they usually fall off only when the latest version of the hardware comes out and new features (that you just must have) are introduced. So then you have to wait again. Which begs the question, when do you buy?
I faced this dilemma with my Personal Digital Assistant (PDA). I bought my old Palm Vx two years ago. I wanted more memory and color for my next PDA, and thought about waiting for the heralded Palm 5.0 Operating System (the current OS version is 4.1).
Problem is, Palm 5.0 is meant for another processor (Intel's Strong ARM) that is radically different from the current DragonBall chipset. Thus, current Palm PDA owners may not be able to upgrade their operating systems to the new 5.0. The price of the new OS is bound to be expensive since it also means buying a new device: a PDA with yet more innovative features to complement a groundbreaking OS.
So do I wait until the latest operating system is released and get that, or do I buy another PDA that is more advanced than my current one but not upgradeable to 5.0?
My rules for buying any type of technology are based on the answers to two simple questions: Do I really need it? And what is the cost/benefit ratio? You must balance your needs with the benefits of obtaining the latest technology, as well as calculating the potential losses for not getting it now.
For example, take a "Thumb Drive". This USB-based appliance allows users to save and move data by sticking the thumb drive into a USB port (which are now universally available on all new computers) in order to drag-and-drop files into the device.
Small and easy to use, you can simply download your files, pocket the device and bring it home to upload them to a new computer. Great benefits. But the costs are still rather high: about Rp 800,000 for a 128 MB memory disk, a price comparable to that for a 40 GB hard drive.
If you can't buy it now, what are the alternatives? Can you still use floppy disks, e-mail and CD burners to transfer data? Is it cost effective? Can you survive without this new device? Do you have extra cash for buying this new "toy"?
In my case, I was using my Palm Vx daily (for writing documents, reading text and playing games while waiting in a client's reception area). What benefits would I get from upgrading to a new machine? I'd have more memory, an advanced Operating System and hopefully a color screen so instead of lugging a laptop to a client presentation, I could just carry my PDA and an attachment for a video projector.
What if I wait? I could, but by then the market price of my current PDA would fall even more, thus it might not be able to offset the price of the new device. In addition, I might run out of memory in my current PDA, preventing me from adding more programs that may be vital to my day-to-day activities. I'd have to delete and install programs daily in order to save memory.
In the end, I bought a Sony Clie, the PEG T-615, with 16 megabytes of RAM, memory stick expansion, Palm OS 4.1 and a wicked 360-by-360 high-resolution color screen. I sold my old device and was able to offset the Clie's price by 45 percent.
Now I use my Clie/Palm more frequently and can effectively manage my day-to-day operations. Had I waited, it could have taken about eight months for the new OS to come out, and by then the price my old Palm would have been negligible. I'm glad I bought the Clie when I did, and have no regrets.
You can always wait for prices to go down, but you must also consider your actual needs compared to your impulsive feelings. If you see an item that you are sure will help you achieve your day-to-day goals effectively, then by all means get it now. You could wait, but make sure your productivity does not suffer. So always consider the cost/benefit ratio, because the price of the next earth-shattering gadget is bound to fall sooner or later.