Personal-computer shipments will increase slightly more than expected this year as Hewlett-Packard Co battles Dell Computer Corp for the title of world's biggest personal computer maker, market researcher IDC said.
The company increased its 2002 shipment growth forecast to 1.6 percent, or 136.2 million units, from 1.1 percent, or 135.5 million units, predicted in September. The 2003 estimate of 8.3 percent, or 147.5 million units, is lower than a previous prediction of 8.4 percent growth.
Hewlett-Packard Co is offering an "incredibly good deal" of US$698 for a PC, 17-inch monitor and a printer through the Web site of Wal-Mart Stores Inc, said Roger Kay, an analyst for IDC.
Hewlett-Packard's pricing will affect the industry's profit and revenue, he said.
"There will be increased unit shipments in the fourth quarter but revenue and profit will be hurt" among PC makers, Kay said.
In the third quarter, Dell edged Hewlett-Packard to become the world's biggest PC maker, a title Hewlett-Packard won when it bought Compaq Computer Corp in May. Including sales for the first nine months of the year, Hewlett-Packard is the biggest PC maker, said IDC.
"There's certainly a chance Hewlett-Packard could go back on top" in the fourth quarter, Kay said.
Smaller rivals like Gateway Inc "are getting blown away," he said.
On Wednesday, Gateway Chief Executive Ted Waitt said his company's consumer business is down "fairly significantly."
PC demand is mired in a slump that caused shipments to fall last year for the first time since 1985, IDC said.
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