Against abackdrop of turmoil in the global financial markets and the ubiquitousuncertainty it has created the PC market will continue to grow in doubledigits, the CEO and President at Acer has predicted.
Talking atthe Shaping the Future conference in Budapest,Gianfranco Lanci, head honcho at the Taiwanese giant expected 25% to 30% growthin notebook sales across all regions during the second half of the year and 3%to 4% rise in desktop shipments.
But ina nod to the current climate Lanci added "with the financial crisisenterprises will be slowing [PC] replacements".
This leavesthe lion share of market growth coming from notebook sales to SMEs andconsumers, retail sales boomed in the last quarter growing by 75% in the UK according toIDC.
But thedesktop market has plenty of life left despite the marginal growth forecasts Lancisaid.
"I don'tthink the desktop will die but it will dramatically change" he commented,adding the form factor would reduce in size to once again sit on the desknot under it and the gaming market and media centres would play vital roles inits growth ambitions.
Theacquisition last year of Packard Bell and Gateway has increased Acer's desktoprevenues - an area where the vendor has struggled to replicate the same successas with notebooks. Lanci said the integration of the two firms was almostcomplete and that it had not lost market share in the process.
"Weare starting to see better growth on desktops and a better balance [in ourportfolio]", he said.
Lanci hintedthat In the first quarter Acer is to refresh the entire product ranges of allits brands to address different market segments; Acer will address mainstreammarkets, Gateway and Packard Bell will attempt cater for the more fashionconscious user and eMachines will be at the entry level space.
Three yearsago Acer set out its goal to become the largest PC vendor in the world andLanci said a multi-brand strategy was a key pillar in its strategy. But headded that reducing op-ex from 7% to below 6%, improving operating income from3% to 4% and growing revenues by 15% a year were also essential.
Consolidationin the market may assist the firm and Lanci reckons the trend will speed upover the next two years, "There are small local players that are questioninghow they can survive in the future." He added that any vendor outside ofthe top five global players may not have the economies of scale to compete.