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Digital's desktop doldrums

Digital Equipment's line of PCs already appears to be dying a slow death.

Digital Equipment was conspicuously absent from yesterday's unveiling of Intel's newest, fastest Pentium II processors, the clearest sign yet that its desktop line is unlikely to survive the company's pending merger with Compaq Computer. Today's news that Bruce Claflin, Digital's vice president of worldwide marketing and sales, will leave soon after the merger seems to support analysts' thinking. Meanwhile, this morning's third-quarter earnings report revealed that overall product revenue dropped to $1.68 billion, falling from $1.84 billion a year ago. Overall revenues were also down, which Digital blamed on a strong dollar.

Is Digital falling off the desktop?
news analysis Digital Equipment's line of PCs is dying a slow death, analysts say, as the company skipped yesterday's Pentium II rollout.

Digital's Claflin the first to go
A number of Digital's management team are expected to exit as the high tech dinosaur is incorporated into Compaq.

Digital revenue down
The company reports a drop in revenue due to a strong U.S. dollar, but a net income of $307 million, compared to $51 million a year ago.