PAUL
You were right about the portable PC market - with TILLAMOOK being introduced on MONDAY it really reconfirms the following article . Sould be a great fourth qtr if INTEL can make enough product .
REGARDS BILL
LONG INTEL
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ÿÿÿÿÿÿÿSeptember 03, 1997
MMX Notebooks To Boost Retail Revenue
(09/03/97; 1:09 p.m. EDT)
By Roger C. Lanctot, Computer Retail Week
RESTON, Va. -- The onset of MMX-equipped notebook computers should stimulate revenue gains among computer retailers this fall. The transition from non-MMXto MMX-equipped product is moving swiftly and should drive average prices higher, particularly in an environment of increasing notebook computer sales.
"Revenue will be pretty strong right now and prices will stay where they are or go up," said Stephen Baker, senior analyst for PC Data, a market research company based here. "It's unlikely that the low-end can go down fast enough to drive down average prices given how the high-end is taking share. Most of what is selling now is MMX stuff."
MMX portables captured 23 percent of retail unit sales of notebook computers in July, up from 8 percent in April when these products first appeared in stores, according to the July Retail Hardware report by PC Data.
The increase represents a nearly 200 percent rise in unit sales, during a period in which the overall retail portable market grew only 1 percent, the company said. PC Data's hardware sales reports are based on audited sales data collected from 14 retailers representing an estimated 35 percent of total retail computer hardware sales.
Despite the popularity of MMX-equipped portables, their average selling price has declined more than 17 percent since April. In July, the average MMX portable sold for nearly $3,300, compared to more than $3,900 in April. Non-MMX portables' selling prices declined only 8.5 percent during the same time frame. Overall, though, average prices have remained virtually unchanged at approximately $2,200.
"The quick decline in MMX prices shows how little time PC manufacturers and retailers have to take advantage of the revenue potential of hot-selling, new technologies," said Baker. "However, the rapid growth in MMX unit sales, at significantly higher retail prices, indicates that the available revenue in this category will remain high during the transition period to MMX."
Overall, average notebook computer prices are up 2 percent since February of this year. Unit sales of notebook PCs increased 32.5 percent in July `97 compared to July `96, while revenue increased 19.7 percent.
Compaq is taking an early lead in the category, capturing almost 55 percent of unit sales since April. Compaq's Presario 1075 and 1080 have accounted for almost 45.5 percent of the portable MMX market to date. Compaq's share puts it well ahead of second place Acer/Texas Instruments, which garnered 12.2 percent of unit sales, and far ahead of perennial notebook market leader Toshiba, which ranked fourth with a 6.9 percent share.
"Compaq's early strength is a reflection of its commitment to get these types of products out into the channel as soon as possible in order to maximize revenue opportunities," said Baker. |
