The Economics of Technology

By Brent Jung in collaboration with Jordan, Jessica and

Samantha

What is Moore's Law?

Moore's Law states that the amount of transistors placed on an integrated circuit doubles every two years.

http://www.youtube.com/watch?v=vfE0YeziKO4

The Total Cost of ownership (TCO)for schools

• Cost of Hardware (direct cost)

• Software Cost (indirect cost)

• Networking & Internet Cost (indirect cost)

• Operation & Maintenance (Indirect cost)

• Actual Labor Cost (indirect cost)

In a Virginia school District:$536 per student

$1400 per student

In a Texas school District:$314 per student

$971 per student

In a Wisconsin school District:$307 per student

$986 per student

Direct Cost of Ownership

Indirect Cost of Ownership

Hardware Costs

Every few years you must buy a new computer ($307-$536/ student)

Out with the Old!

In with the New! ($1200$$$200)

$1200-$2000

New Hardware means New Software

Finally! Now all my problems will go away! All praise to the new software!

There is always new software to replace the old.

Sometimes your software feeds you gibberish!

Sometimes your internet fails!

That is going to cost you!

Who is going to show all those teachers this new stuff?

Perhaps someone did not teach the teachers how to use all this new stuff.

You also must replace broken down computers

It's not Always the computers fault!

When Software and Hardware fails, who are you supposed to call?

Ghostbusters?

Try the dedicated IT guy in your school. Yes that is a fast growing job in schools.

So what do parents need to pay for?

• New computer?• New phone?• New operating system?• New Word software?• Internet?• Storage devices?• What about tablets?• Someone to fix it all?

Computer Training Software New Repair Cost Upgrade Hardware Cost Cost Cost

DirectHardware

Cost

In-DirectSoftware

Cost

ParentDirect Cost

King of All Indirect Cost?

-------------------------- Hint:fast growing job in schools

Citations:

Information is used for educational purposes, http://www.peterli.com/spm/resources/articles/archive.php?article_id=669

Images used for educational purposes, images provided by Google Image Search.

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