Thursday, October 11, 2012

PC Makers Hit New Lows as Shipments Forecast to Decline 1 Pct This year - Hewlett-Packard Company, Microsoft Corporation, Dell (HPQ, MSFT, DELL)

A new forecast has predicted that sale in personal computers are likely to decline about a percent in 2012, the first annual decline in 11 years.

Research firm IHSiSuppli said on Wednesday that about 349 billion PCs will be shipped this year compared to 353 million shipped last year.

Though it is a small decline, what is significant is the decline and is a pointer to the waning popularity of traditional computers.

A lot of hopes were pinned on the growth of computers with the launch of ultra-books, but somehow the lure of tablets and other mobile devices have been more than that of computers.

Consumers are increasingly turning to tablets and other mobile devices for their everyday computing needs.

The hopes of the PC industry are now pinned on Microsoft Corporation(NASDAQ:MSFT)  new Windows operating software, from which they expect a revival in sales.

Ironically, Microsoft itself is moving away from being a mere maker of software and now has plans to move into the tablet PC market, where it sees more opportunity.

In fact Windows 8 operating software has been designed in such a way that it can power hybrid PCs and can also work on tablet PCs. This means that if the operating software for tablets becomes more popular it could accelerate the decline of the PC industry.

Machines running on Windows 8 are scheduled to go on sale Oct. 26 from Lenovo Group Ltd., Hewlett-Packard Company(NYSE:HPQ), Samsung Electronics Co., Dell Inc.(NASDAQ:DELL) and others.

Shares of HPQ fell 1.32% to $14.18 on Wednesday and made a new low of $14.02, Dell Inc.(NASDAQ:DELL) lost 1.36% to $9.43 and hit new low of $9.34.

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