PC Industry Reports Slumping Sales

The PC industry has reported its fourth-quarter sales which experienced 0.4 percent decline. In addition to this gloomy report, the sector provided a dismal forecast which stated this year’s sales will experience more than 5 percent decline, adding that hardware sales will have a slow recovery in 2010.

PC makers released its fourth-quarter sales which experienced 0.4 percent decline due to low consumer demand.

On its year-end report released on January 14, PC industry also predicted that this year’s sales will experience more than 5 percent decline.

Despite this gloomy forecast, PC sales are expected to slowly recover in 2010.

Experts believe that there are many contributing factors for PC’s slumping sales. One of this is the global economic recession which forces consumers to spend less money on things perceived to be dispensable. And with this economic condition, various sectors including technology companies are facing gloomy future.

Another reason for the slumping sales is the growing demand for ultra-portable computers called netbook that only cost $300 to $500. As this new model is cheaper compared to standard notebooks and desktops, more consumers would prefer to buy this.

And lastly, PC manufacturers cannot upgrade its computers as Microsoft has not yet released its new operating system. According to software giant, the new platform will be introduced sometime in 2010.

To cope with the looming problem, computer giants have already adopted contingency plans which included layoffs, project postponement, and suspension of infrastructure.

Lenovo, one of the world’s leading PC makers, has recently announced to lay off more than 11 percent of its workforce, affecting almost 2,500 employees.

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