But some top executives, including Chairman Lester Alberthal, foresaw problems. Margins were under intense pressure from new competitors, such as Andersen Consulting. Customers were demanding hefty discounts in their long-term service contracts. Fewer new customers could be found among leading-edge IT users in the United States. And future business needs would involve desktop computers, not the mainframes EDS specialized in, while the most exciting new information-network services would focus on the home, not the office.