"The problem is the very flexible demand for new PCs, which won't change much until we have some sort of new applications that really demand new ones."
About new applications, Microsoft may be trying to help Intel indirectly. People send me files on Excel and Word 2000, and my 1997 versions of Excel won't open, and Word gives me hundreds of pages of static. (Those boys at Microsoft must still be chuckling about how they encourage upgrades). But generally on applications, you are right to say few people will want a new computer to run updated word processing and spreadsheet files.
However, perhaps new auxiliary equipment will be a driver for computer upgrades. New printers are definitely better than old, and getting quicker and sharper every year. Also, old printers break. Either way, an updated computer is necessary. I might still be using my old Pentium 120 if it were not for the fact my HP5 broke about a year ago. Flat panel monitors are getting popular, and within 3 years will be very popular. Many older computes have few or no USB connectors. I suspect the same push to upgrade occurs to those who want to add use of a new scanner, MP3 player, digital camera, etc. This should be a background demand that is already showing up in sales, but may pick up when the economy picks up (more people buying digital cameras, buying LCD screens, etc.) |
