Why The U.S. PC Market is On The Decline
conq writes "BusinessWeek reports on the recent woes of Apple and Dell. One possible reason according to the article: 'imminent price wars'." From the article: "'There's a softness in the market that's building,' says Richard Shim, a senior research analyst at IDC. In the past two weeks, IDC cut its 2006 forecast for U.S. PC growth to 5.7%, from 6.8%. 'In '04 and '05 there was tremendous growth. In a market that's as mature as this industry is, there's no way you can maintain those levels.'"
Analysts are predicting lower growth, not negative growth. And since the market isnt growing as fast as wallstreet likes, share prices take a hit. Apparantly, having sales of only $4.8 billion is not enough for them, it must be $5 billion...
So because of a 1% decline in the GROWTH of the market, pc sales are suddenly in a downward spiral?!?
Sounds like sensationalist press to me.
... that we can somehow consider 5.7% growth DECLINE. Damn analysts...