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To: Ram Seetharaman who wrote (7519)5/15/2000 1:26:00 AM
From: DJBEINO  Respond to of 9582
 
UMC closed @ 87.50 -2.50 vol 50,801,343 3rd most active
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May 12 net purchase 4,912M shares
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TAIWAN WEIGHTED closed @8465.02 -95.42 (-1.11%)
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To: Ram Seetharaman who wrote (7519)5/15/2000 9:36:00 AM
From: DJBEINO  Respond to of 9582
 
Asian PC Market Bounces Into the Millennium With a Record
High, IDC Says
FRAMINGHAM, Mass., May 15 /PRNewswire/ -- For the sixth
consecutive quarter, the Asia/Pacific (excluding Japan) PC
market expanded to post another quarterly shipment record
in Q1 2000, according to preliminary results released by
IDC Asia/Pacific. Total regional PC shipments amounted to
4.24 million units in the first quarter, surpassing volumes
from the previous year's first quarter by more than 43% and
5% over Q4 1999. Although countries such as Australia,
Vietnam, and Malaysia experienced seasonal dips, the
overall market was boosted by Korea's and India's
sequential shipments in particular, as well as support from
China and Singapore.

PC shipments were buoyed by the Internet PC program in
Korea, an initiative led by the government to boost PC
ownership among lower-income groups. This government-
advocated drive was most pronounced in Korea but was also
prevalent in other Asian economies as governments continue
to look upon developing technology usage as a means of
sustained economic recovery. Fears that Y2K would continue
to dampen PC demand in the first quarter were unfounded as
businesses quickly resumed spending. Low PC penetration
rates continued to accelerate demand while the widely
publicized processor shortage seemed to have minimal impact.

``Much political support has driven growth in key Asian
markets, namely through Korea and China, and this has
heavily contributed to Asia/Pacific's sustained growth,''
said Davina Yeo, senior analyst at IDC Asia/Pacific.
``After these government-sponsored rallies, IDC expects the
regional PC market's momentum to continue at the same
aggressive pace.''

Competitively, Samsung leapt over both IBM and Legend to
lead the regional PC market in Q1. Despite not having a
place in the Korean government-led Internet PC program,
Samsung owed its success to its ``Academy Campaign,'' a
program targeting higher PC ownership among students. The
vendor's shipments of approximately 384,000 units
represented a hefty increase of 36% from the previous
quarter and bolstered the Korean vendor's market share from
7% to 9.1%. However, compared to Samsung's stellar
performance, the remaining top five regional vendors'
results were relatively lackluster with zero to negative
sequential growth rates.

China's Legend had two outstanding quarters of phenomenal
growth that earned it regional leadership in Q4 1999, but
the vendor's momentum could not be sustained in Q1 2000.
Although year-on-year growth was 122%, compared with the
previous quarter, unit shipments dipped by 2% to 360,600
units, equating to 8.5% market share. IBM held on to 7.2%
market share, and although the vendor experienced slight
negative growth overall, its slide was tapered by positive
growth in Korea, China, and Indonesia. Compaq's shipments
also declined, ceding 0.8% market share from Q4 1999 to
6.0%, although maintaining the fourth-place position in Q1
2000 with 254,400 unit shipments. For Hewlett- Packard, Q1
2000 was a zero-sum game. Despite an admirable performance
across India, Singapore, Hong Kong, and New Zealand, a 33%
slump in its largest market from the previous quarter, the
PRC, resulted in shipments remaining stagnant with 227,300
units shipped and 5.4% regional market share.

Market Highlights

The top five country rankings in Q4 1999 remained the same
in Q1 2000. Most noteworthy was Korea's 36% quarterly
increase that enabled it to cross the 1 million-unit
shipment mark for the quarter. In doing so, Korea
consolidated its second-place ranking, and at the same time
captured an additional 5% market share to 24.6%. In
comparison, the country with the largest market share, the
PRC, grew at a slower rate of just 2%, but nonetheless
maintained 32.4% market share, down from 33.8%. In third
place, Australia turned in a disappointing first quarter,
dropping by 17% to 440,000 from 530,000 units as commercial
spending slowed on news that the July 1st GST
implementation could mean substantial business savings.
This led to Australia shedding 3% market share to 10.4%.
India made consistent progress to keep fourth place,
finishing 13% up from 300,000 to 342,000 units, and Taiwan
rounded up the top five countries in Asia/Pacific.

These findings stem from IDC's Asia/Pacific Quarterly PC
Tracker. To purchase this service, please contact Kristin
Williams at 949-442-4008 or by email at kawilliams@idc.com.
For more information on IDC Asia/Pacific's research
offerings, please contact Beth Freedman or Lisa Bloom at
508-872-8200.

Table 1
AP (Ex. Japan) PC Shipments, First Quarter 2000 by Vendor
(Thousands of Units)

Vendor Q1 Share Q4 Share Q1 Share Q100/ Q100/
1999 1999 2000 Q199 Q499

Samsung 173 5.9% 279 7.0% 384 9.1% 121.7% 37.6%
Legend 174 5.9% 369 9.2% 361 8.5% 107.2% -2.2%
IBM 256 8.7% 322 8.1% 306 7.2% 19.5% -5.0%
Compaq 221 7.5% 271 6.8% 254 6.0% 15.4% -6.2%
Hewlett- 150 5.1% 227 5.7% 227 5.4% 51.4% 0.3%
Packard
Others 1,984 67.1% 2,528 63.3% 2,709 63.9% 36.6% 7.2%
Total 2,958 100.0% 3,996 100.0% 4,243 100.0% 43.4% 6.2%

Source: IDC, 2000

Table 2
AP (Ex. Japan) PC Shipments, First Quarter 2000 by Country
(Thousands of Units)

Country Q1 Share Q4 Share Q1 Share Q100/ Q100/
1999 1999 2000 Q199 Q499

PRC 1,021 34.5% 1,350 33.8% 1,374 32.4% 34.6 1.7%
Korea 424 14.3% 769 19.3% 1,043 24.6% 146.0% 35.5%
Australia 483 16.3% 531 13.3% 442 10.4% -8.4% -16.7%
India 269 9.1% 302 7.6% 342 8.1% 27.4% 13.3%
Taiwan 195 6.6% 274 6.9% 269 6.3% 37.8% -1.7%
Hong Kong 107 3.6% 143 3.6% 148 3.5% 38.9% 3.6%
Malaysia 93 3.1% 167 4.2% 141 3.3% 52.5% -15.5%
Singapore 106 3.6% 106 2.6% 120 2.8% 13.4% 13.1%
Thailand 74 2.5% 102 2.6% 103 2.4% 39.7% 0.9%
Indonesia 44 1.5% 85 2.1% 94 2.2% 111.2% 9.9%
New Zealand 75 2.5% 70 1.8% 76 1.8% 0.9% 7.8%
Philippines 43 1.5% 59 1.5% 64 1.5% 48.9% 8.4%
Vietnam 26 0.9% 37 0.9% 27 0.6% 2.4% -27.5%
Total 2,958 100.0% 3,996 100.0% 4,243 100.0% 43.4% 6.2%

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