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By Neil Winton, Science and Technology Correspondent LONDON, Aug 1 (Reuter) - Sales of personal computers in western Europe gathered pace in the first half of 1997, and are likely to accelerate in the second half, a report published onFriday said. Compaq Computer Corp of the U.S. improved its position as market leader with 14.6 per cent of sales, market researcher CONTEXT said. International Business Machines Corp retained its distant second place with 9.3 percent, while Hewlett-Packard was third with 6.2 percent. Siemens Nixdorf of Germany was the top European performer in fourth place with 5.8 percent. West European sales in the first half rose 10.5 per cent to 8,575,959 PCs compared with the same period last year. Growth spurted to 14.0 percent in the second quarter, substantialy better than the first quarter's 7.5 percent, according toCONTEXT. "This is the result of the partial recovery of some of the biggest European markets like France, Italy, Spain and Sweden," said Emmanuel Lalloz, senior PC research analyst at CONTEXT. "If, as is likely, the consumer market grows stronger again in the last quarter of this year, CONTEXT expects the second half of 1997 to be even better, with growth approaching 15 to 16 per cent," Lalloz said. This contrasts with market conditions at the end of the first quarter, when CONTEXT said consumers were worried about their prospects. Sales were also held back ahead of the introduction of Intel Corp's new Pentium 2 chip whichwas launched early in May. Germany, Europe's biggest market, experienced moderate growth with sales hitting 965,100 in the second quarter, 7.8 percent over the first three months. German sales are being hampered by the economic recession, Lalloz said. Britain, the second biggest market, grew by 12.1 percent inthe first half. Lalloz said Compaq's powerful performance was due to its increasingly aggressive pricing, and its improved distribution. "IBM had problems with managing its inventory in Europe, over-stocking desktop computers while not being able to supply in the notebook market," Lalloz said. "Siemens Nixdorf outperformed all its competitors in the second quarter by achieving the highest year-on-year growth of 59.3 percent, with 248,324 PCs shipped." Ailing Apple Computer of the U.S. held on to its ninth place or three percent market share. "This is partly a result of high sales in the education sector, and of the success of the company's refocus on the high-end market, and partly a consequence of improved logistics, and stock control." The rapid pace of change in personal computers has been a serious constraint on sales, as individual consumers and small businesses hold back to avoid being saddled with obsoletetechnology. According to Lalloz, companies like Compaq and Hewlett-Packard, and particularly IBM, are trying to woo new customers with leasing type deals, which include service and also guarantee that computers will be updated to incorporate the latest technology. This would take some of the hesitancy from consumers, and also allow suppliers to flatten out their volatile production runs and cash flows, Lalloz said.
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re why ?<<from VICTORIA GATE, MD on Aug 1 1997 9:18AM EST
ibexx hit $ 95 in 1 1/2 days
may need some help from bond >
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intc all time hi 94 5/16 cpq up ibm down hwp down dell down msft down |
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