Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (51024)	3/9/1999 8:16:00 PM
From: Eggolas Moria	Read Replies (2) \| Respond to of 132070

The latest IDC forecast is intriguing for a couple of reasons. First, a little while ago, Merrill stated that the market research firms were looking for an acceleration to double-digit PC revenue growth over the next few years. Now IDC says that although worldwide unit growth will be on the order of 14.3% in 1999, revenue growth will be only 4.8% for the year. Second, while the US should see the strongest growth of any region, it will be driven by consumer demand and benefit companies such as CPQ, GTW Apple and eMachines! Finally, PC shipments rose 12 percent in 1998 according to IDC. Source: Bloomberg Business News If shipments were up only 12% last year and ASPs dived for PCs as indicated on all of the 10-Qs and 10-Ks, then how did annual PC revenue go up in 1998? Then of course, you should take the rebates out of cost of sales and enter them as a reduction to ASPs, but that is probably too conservative an approach. OK. I'm convinced. PC revenues in 1998 were probably less than in 1997. Hmmmmm . . . I wonder if that's sunk in yet . . . Have to watch those ASPs in Q1 and Q2 closely.