Gartner Group Inc. (NASDAQ: GART) today released findings from a total cost of ownership (TCO) study which reveals that using network computers (NC's) can result in savings ranging from 26 to 39 percent versus traditional Microsoft Windows '95 desktop environments.

TCO must be a primary selection criterion in determining investment levels in NC and PC environments. The comparison of three proposed NC models leads to the following cost-savings: 26 percent for the NetPC, the Intel/Microsoft solution; 31 percent for the NC-S, Windows imitators; and 39 percent for the NC-C, a Java-type workstation. For a company implementing 250 NCs, this can translate into a savings of $715,000 to $1.12 million annually.

According to the study, the NC is not yet capable of serving as a general-purpose PC replacement; rather, it is best deployed in specific environments such as help desks or call centers where the PC fills a specific, reduced or limited function. The availability of applications, development tools and management products to provide full support to the NC environment are critical factors before the NC can replace the PC. Gartner Group predicts these complete NC solutions will not arrive until at least 1998.

"Don't throw away your PCs, network nirvana is not yet a reality," said Dave Cappuccio, vice president and research area director, Network Technologies, Gartner Group. "The NC is a solid concept that will take hold and challenge the PC in some environments relatively soon."

The three NC models compared embody Gartner Group's TCO best practices criteria including: standardization, centralization, server-centric, centralized administration and reduced complexity. Before making the NC plunge, however, companies should realize they can generate 25 percent savings today through a well-managed PC/LAN environment.

For further analysis, go to http://www.atvantage.com .

Gartner Group Inc. is the world's leading provider of IT research, advisory and market research services. Founded in 1979 with headquarters in Stamford, Gartner Group serves nearly 7,500 client organizations worldwide.