IBM has recently announced price cuts for its 4300 line of computers and is promoting purchase rather than leasing. The IBM 4321, the new entry level machine, may now be purchased for $85,000, at least $10,000 less than what it formerly cost to get the same level of performance from a 4300 machine. At the same time as IBM dropped its hardware price, it raised prices on software by 6%. Another software price increase is expected in early 1982. The underlying strategy appears to reflect the findings of recent studies that by 1985 computer users will be spending only 15% of their data processing budgets on hardware. The shift in pricing would permit the company to maintain its past pattern of good income growth.
The applications software package most suitable for libraries that have, or are considering the IBM 4300 series, is that of the Northwestern University Library: NOTIS III. The integrated library system software package is now being enhanced and documented for sale to other libraries. The University of Florida Library is expected to have the first installed system.
