That barber shop computer deal
July 22, 2011 | By KNews | Filed Under Letters
Dear Editor,
Did this PPP government give a contract for US $796 per unit for Dell desktops that start at US $299.99?
That is a question that I have a question for all PPP voters and supporters. When was the last time the PPP gave you a pay cheque that is worth 2.66 times what you earned? When last did you earn $1 and get $2.66 instead from the PPP?
This is the contract the PPP Government gave to this Digital Technology with its barbershop headquarters.
I went to the Dell website. I found desktops starting at US $299.99. I found desktop monitors at US $119.99. I found a starting system complete with desktop and monitor at US $419.98.
The PPP gave Digital Technology a $223 million contract for 1400 desktops. That is US$796 per desktop.
The difference between the US$796 in taxpayers’ dollars that the PPP gave to Digital Technology and the system cost from the Dell website is US$376.02 per desktop. Who is pocketing this difference?
But this gets worse. Education Minister Shaikh Baksh reportedly said that these desktops will have 250-gigabyte hard drives.
Dell’s cheapest desktop system at US $299.99 delivers 500 gigabytes.
A mock upgrade customisation shows 500 more gigabytes costing US$70. As such, a decrease of 250 gigabyte in these laptops the PPP is buying for the nation’s schools should reduce the desktop price by US$35. Thus, the Dell starter/entry level desktop should cost US $384.98.
Subtract US$384.98 from US $796 and we get a difference of US $411.02.
When one considers corporate discounts are normally given for large purchases, there could be bigger profits in this for Digital Technology. For 1400 desktops, that is a handsome margin of at least US $575,428.
After deducting shipping costs, Digital Technology could be making a cool US$500,000 or more. It remains to be seen what desktops Digital Technology will deliver. Not bad for a barbershop registered business.
Again, I remind this government that this is not their money. That poor people all across this country are paying for these desktops.
Poor PPP supporters struggling to stay alive in this high cost of living nightmare created by the PPP are paying for this.
Taxes collected from all are being handed out here. This is the kind of madness that destroys this country at every turn.
M. Maxwell