Tuesday, November 15, 2011

Intel's New Toy

I usually focus on software when I write my blog posts, but I have to highlight the hardware sector this week. Intel has announced the launch of two new processors for high-end PC use. The Intel Core i7-3930K and Intel Core i7-3960X are six core processors that will run at ridiculously fast speeds. Intel has released that the processors will hopefully make the computer run smoother than ever throughout any work to gaming experiences done on the PC. To many critics the processors live up to their extreme reputation. Intel has controlled the processor sector of computer hardware for some time, and has always had a reputation for greatness with their chips.

This is relevant to the industry, as many giants have been struggling such as Apple, HP, Nintendo, and many international companies. Intel is now proving that it stands out amongst the hardware big players. Hopefully they will continue to wow the consumers and keep the company going strong. It will be interesting to see how the processors pull through when they are mass produced and put in the hands of the consumers who will use it primarily. I personally think it will be a key piece to advancing technology further.


http://www.crn.com/news/components-peripherals/231903050/intel-targets-high-end-pc-market-with-new-six-core-sandy-bridge-processor.htm;jsessionid=VsUmzQPXo8zPVriojw0Crw**.ecappj03

Monday, November 14, 2011

Apple taking down a new sector

Recently, information has been released that appears to suggest that Apple will attempt to build a platform that will challenge certain cable and television based products. Apple, that has been responsible for changing multiple sectors with their advanced, innovated technology plans on continuing with a new product that could advance the way we received media once again. Apple has already created a piece of technology known as Apple TV. While it has many fantastic abilities, cable still appeals to the majority of the market.

Individual's close to Apple have released bits and pieces that will be unique to an Apple television project. Their are thoughts of Voice command, an Application store, Integrated software technology, Interface communication and online capabilities as the advanced technologies that Apple integrates as a part of their technology. It will be interesting and extremely exciting to follow Apple throughout this process and to become aware of advancements from the beginning.

http://www.sltrib.com/sltrib/lifestyle/52864225-80/apple-television-iphone-jobs.html.csp

The Competition of Patents

The tech industry is highly competitive; that is an obvious observation. With more and more competition rising with the creation of new products and ideas, companies are looking for any way to gain an advantage over their competition. One way that mobile phone companies have been trying to gain advantages over their competitors is the use of patent and anti trust laws. The problem with anti-trust laws and patent laws are that they have completely opposite goals. Patent laws are meant to enable investors to hold a monopoly on and idea or product, where anti trust laws are in place to prevent monopolies. This contradiction in laws has began to cause issues in the computer hardware industry because every electronic devise has many patents and companies are trying to create lawsuits to obtain a competitive edge or gain more money as a result of such lawsuits. They are also charging large fees for the use of patented products to further discourage the use of their products by competition. The competitive nature of patents has caused companies to battle over the rights to patents to where the Supreme Court must get involved. When a company called Rockstar Bidco outbid Google for a group of patents Google then went and bought Motorola for 12.5 million dollars for the simple reason of gaining control over more patents. The courts found this transaction a little unnerving in regards to anti trust laws and is currently in an ongoing investigation over it. There are many other examples of patent vs. Antitrust laws involving electronics in recent years. The Obama administration’s Justice Department has become increasingly concerned with these issues. The way the laws are now can potentially cause too many issues which I my opinion may need to change to keep competition from getting out of hand but a change in government policy could also hurt some large computer hardware companies by forcing them to lose a part of their competitive edge.

http://online.wsj.com/article/SB10001424052970203503204577036003036334374.html

Sunday, November 13, 2011

Start all Over...In China

The Computer Hardware and Software Industry have seen many influential leaders and founders over the decades, from Bill Gates to Steve Jobs. All industries need visionaries and inspirational leaders. One such leader I admire is Michael Dell, founder of Dell Company. Dell dropped out of college at the age of 19 in order to pursue his dreams and build a company that has fundamentally moulded how personal computers should be made and sold.
Leadership, I believe is about effective communication and the ability to create strategies and visions that drive a company to its’ success. Companies in this industry tend to invest primarily in engineering in order to produce innovative products and Dell has revealed that they too are planning to roll out an iPad rival in order to maintain and keep level with the competitive environment. One aspect that Michael Dell hopes to keep going is the steady state of acquisitions where the company is focused mainly on expanding and building on what the customer wants. Also, he mentions that he would like seek partnership with Microsoft and create a product that runs with its’ software because people like it when ‘things work together’.
However, when questioned upon if he were to be given the chance to start his business all over again, where he would prefer to start it, Dell merely states, China. I agree with Dell’s point of view, for China’s markets give many benefits and opportunities with their technology and labour force as well as the large markets they have. With effective leadership skills, Michael Dell can still fulfil this vision without having to start all over again, and instead, just outsourcing or off-shoring some of his business operations to benefit from economies of scale and enter new markets and have access to a larger consumer base.

Saturday, November 12, 2011

HP's Hail Mary Appointment


In the short year that Leo Apotheker had control of Hewlett Packard the company's stock fell 5%, from roughly $40 per share to $22.8. Apotheker was criticized by many, including prominent investors when he reneged on promises to integrate mobile software into devices. This along with other some other well publicized mishaps, led to the board's decisions to show Apotheker the door. Apotheker severance package, which included cash, bonuses and stock, was valued at roughly $37 million. His predecessor, Mark Hurd, had also left the company on a negative note, as many of the company's troubles had escalated under his watch. In a Hail Mary attempt to regain support and put the company back on track, the board appointed one of its own to the position of CEO. As stock values declined and investors lost faith and satisfaction the question arises: What is newly appointed CEO Meg Whitman going to do about it?
I think its important to first give some background information on Whitman. Before taking on her position at HP she had been CEO of Ebay for over a decade. She was a member of HP's board of directors, which fellow board members claim was a fundamental part of their decision. They feel Whitman's experience on the board has given her an intricate understanding of the company's mission and the strategies it will peruse to achieve HP's goals. In comparison to Apotheker, Whitman is expected to have a stronger ability to develop company strategies, and communicate them more effectively to managers, board members and investors. Personally I feel that Whitman's decisions will renew HP's name as an industry giant, or set the company back for decades. After rushing two consecutive CEOs out the door during periods of serious instability within the company, I feel strongly that this is the last chance for HP to prove to investors they have finally found a winner.





http://www.usatoday.com/tech/news/story/2011-09-22/hp-meg-whitman-leo-apotheker-ceo/50517054/1
http://www.usatoday.com/money/industries/technology/story/2011-09-22/hp-whitman/50521192/1

Friday, November 4, 2011

A New Perspective?

To contrast my usual analysis of computer software trends, this week I found this article about a new iPad App that could change significantly the study of Geology. GeoData was developed by four students doing EXCEL research at Lafayette College, and the app allows the user to scan topographical maps and other advanced maps to see where certain geological anomalies might be occurring. The map also allows researchers to see at what areas aged rock has been exposed or discovered. It has proven to be an interesting resource for college students, as 13 other institutions have written positive reviews as to the helpfulness of the new application. This software of scanning the area could develop into some very innovative new technology. The four students now are working to increase the variability, and smoothness of the app’s operation.

Personally I downloaded this application to see how it ran. As a Business Major, I have no geological knowledge beyond a elementary level, but I found the application easy to use. I found it to be a more advanced application of Google Earth. I could not figure anything out past looking at a topographical map, but I think with the right knowledge, it would be a key resource in a study.

http://www.lafayette.edu/about/news/2011/11/04/computer-science-students-produce-software-that-could-change-the-way-geologist-work-in-the-field/

Thursday, November 3, 2011

Apple Plans for Major Company Changes

Apple has released information that it's entire product line will be going through a complete overhaul during the 2012 fiscal year. Reports have specified that the change in product will be specific to the iPad, iMac, iPhone, and Mac Book Air. While Apple is know for frequent changes to their products, this idea of an overhaul is new to the large, California based computer company. The 3rd generation of the iPad is nearest to completion and is potentially ready for release by january of 2012.

All other products being released will see the public in late 2012 as development is still occurring. Apple's product releases have always led to positive outcomes for the company. When the original iPhone hit the market, individuals responded with over 50,000 web sales immediately following the key note presentation. Apple, as well as it's consumer base, is excited about the coming months and the new products that will soon to be available. The overhaul will have changes in design and technology. Many people believe that the iPhone is in need of a change as the design has held constant for about two years.

http://www.pcmag.com/article2/0,2817,2395803,00.asp#fbid=rBJoSyK_i0C

http://gigaom.com/apple/apple-reportedly-planning-overhauls-for-all-products-in-2012/

Wednesday, November 2, 2011

Emerging Companies in the Industry

With an industry as ever changing as the computer hardware ad software industry there is always a need for new ideas. While the major industry leaders such as IBM and Microsoft come up with innovative new ideas there are also other lesser-known emerging companies in the industry that are growing rapidly. Last year a hardware company out of California called MaxLinear became the largest growing hardware company in the United States. The company was established in 2003 and in just seven years grew to a 51.4 million dollar company. MaxLinear makes products that enable broadband video to be displayed on electronics such as mobile phones and PCs. Over the course of a three-year period the company experienced 8784.1% of growth. They got their big break when, two years into the start of the company, they created their first prototype and it was picked up by Panasonic and have since become a publicly traded company.

The United States isn’t the only place where entrepreneurs are experiencing growth within the industry but companies overseas are as well. In India there is a company called Best IT World and they are currently causing quite a stir in the market of tablets. Last month they released a 7-inch tablet at a retail cost of $303, which is considered a low cost in the tablet market. In countries like India people are buying tablets as a replacement to personal computers unlike in the U.S. where consumers tend to buy tablets as an addition to PC’s. The idea that tablets could begin replacing PCs in some places could make the competition for low pricing important in those areas. Where, in this case, a lesser-known company can compete with the more expensive ones by having lower priced electronics which is where entrepreneurs in the industry could have a change to flourish.

Sources: http://www.inc.com/magazine/20100901/americas-fastest-growing-computer-hardware-company.html

http://online.wsj.com/article/SB10001424053111904836104576558201221474520.html?KEYWORDS=rising+computer+company

The Computer Industry: An Innovation Race

With new technologies and functions being released every year, it is safe to say there is still plenty of room for innovation within the computer hardware and software industry. Leading companies constantly compete and race to develop, produce, and distribute the most high-tech and revolutionary products. Apple has unquestionably led the industry with consumer best sellers such as the IPod, IPhone, and IPad. The industry’s function has gone from simply producing quality products, to being the first to release new ground breaking technology. While slower companies may retain some profits playing catch-up, the most innovative companies will lead the industry with billions in revenue. Companies promise to make products faster, smarter, and more innovative than anything consumers have ever seen before. Each new and frequent release spurs an excitement across the market, as millions of consumers unquestionably pay to utilize the latest technology, and stay in the loop. Recently, Apple has been experimenting with the idea of 3-D technology and implementing it within its highly successful IDevices.

A patent filed by Apple in mid 2010, indicates that the company could be working on an “integrated projector” that would “incorporate physical gestures as a method to manipulate a projected image. Essentially, consumers would be able to move and control functions of their IDevices such as icons and media files from across the room, using 3-D gestures. It is patents and ideas such as this that exemplify the endless potential for innovation within the industry. I believe strongly that the industry will never stop advancing developing technologies beyond our current comprehension. Companies of all sizes will continue to employ the basic concepts of entrepreneurship, taking risks on innovative, original ideas, with the hopes of hitting it big.

Bendable Phones??

The Computer Hardware and Software Industry is all about innovation and innovative ideas are what drive this industry. Without this component, and the desire for companies in this industry to keep producing new and keep updating features of products would not be so high or successful for that matter. There are many opportunities for innovation in this industry, but the most striking innovation lies in the features of the products themselves of course. Companies in this industry update their products and come up with new technological ideas on order to gain a competitive edge.

For example, who had ever thought that you would be able to control your devices with the help of voice recognition? Did you ever think that touch screens would replace mouse and keyboards? If you truly think about these advances, you make also ask yourself: what next? How can we beat this? Well, brace yourself, for rumour has it that we may be able to experience something more exciting: flexible screens.

It has been said that this much anticipated technology may be available in the upcoming year of 2012, as Nokia has already presented a prototype handle device that allows you to twist the screen, whilst Samsung promises tablets with flexible screens. There seems to be competition in the industry about this new technique already. Market researchers revealed that the biggest limitation of large screens is that they are not portable and cannot be ‘stuffed’ in your pockets, thus, manufacturers have responded to this issue by developing the idea of foldable screens.

In my opinion, entrepreneurship is the ability to think differently and have a solid strategy which allows you to gain competitive advantage over the others and keeps the company moving uphill. The corporate world runs on the basis of new ideas, thus, the introduction and mention of foldable and flexible screens is rather fascinating to me. This idea revolves around high risk factors, but it also seems promising and profitable. I feel that if this new innovation is in response to certain consumers and market researchers, then companies like Nokia and Samsung are merely catering to these needs and seeking means of expansion and diversifying by investing their time and capital into producing new products that are desirable to the customers.
http://www.cnn.com/2011/10/31/tech/innovation/flexible-screens-cashmore/index.html

Thursday, October 27, 2011

A Software Giant's Decline

The software industry’s key player Nintendo has been showing signs of struggle in the past few weeks. Nintendo as of recent, is at a net loss of 925 million dollars (70.3 billion yen). The two main factors in this fall are the newfound strength in the yen, and weak software sales. The two have really put Nintendo in a hole, and they have had to cut millions in their forecast for next year. The decline in Nintendo software sales can be traced partially to the app craze with the iPhone. Nintendo, which has always marketed toward a casual gamer, now faces over 25,000 games in the Mac App Store. Nintendo’s 3DS which was released in March has also brought bad results, as its 3D technology fell below most expectations. Now Nintendo must brace itself as Sony plans to release a new console to rival the 3DS.

I found this article to be important simply because it deals with the one of the biggest software companies out there. Nintendo also hits home with me as I grew up with many Nintendo products. It is interesting to see how the software giant is starting to finally decline, and it will be interesting to see what Nintendo does to try and bounce back.

http://www.washingtonpost.com/business/technology/nintendo-reports-first-half-net-loss-on-weak-titles-and-strong-yen-slashes-full-year-forecast/2011/10/27/gIQADORVLM_story.html

http://www.tuaw.com/2010/03/09/ebooks-outnumber-games-in-the-app-store/

Wednesday, October 26, 2011

HP Strengthens Brand

xHP continues to strengthens it's brand name as it receives another accolade from industry evaluators. The computer producing company has been named a leader in the most recent 'Gartner Multifunction Printers report'. According to the report, HP products have become stronger and more reliable then previously. Hewlett Packard has also surpassed other printer specific companies in consumer ratings on products. HP has recently refocused their strategy on printer production. A newly created strategy has a concentration on security, cloud printing and stronger diagnostics.

HP hopes that new ideas will allow their consumers to update and expand on the capabilities of their printers. HP's Senior Vice President of their Printing solutions division remarked "that our strategy (is to ensure) that customers gain a real competitive advantage with these devices". HP intend to continue strong sales within it's printer division and believes that their strategy will advance the technology of multifunction printers.

HP has broadened it's printing products beyond everyday consumers. New products are now focused on specific industries. The HP ePrint & Share(2) allows designers, architects, and engineers to access 'large-format plans' through cloud software. Architecture companies love the new idea. "Using the HP ePrint & Share mobile application while we are on the go is a very powerful tool for us to communicate with all parties involved in a project, ensuring that the plans we are working from are the most current and keeping the design process flowing smoothly and efficiently" says Matias del Campo of SPAN architecture and design. If HP continues to hear responses like that from companies in specific industries they may have tapped into a niche market.

http://www.marketwatch.com/story/hp-achieves-position-as-a-leader-in-annual-magic-quadrant-report-for-mfps-and-printers-2011-10-26
http://www.marketwatch.com/story/hp-brings-large-format-printing-to-design-professionals-on-the-go-with-new-mobile-application-2011-10-20

Tuesday, October 25, 2011

Netflix Plan to Spend Billions More Than It Has

Just three months ago Netflix was flourishing. Its profits were high, its investors and customers were happy and the only question of its future was how big it might become. However, over the summer the company made the possibly fatal mistake of raising its prices well over an amount its customers were willing to pay. As over 800,000 customers abandoned the company, as did a substantial amount of investors. Now instead of gaining a predicted earnings growth of 38% between 2011 and 2012, the company has in fact lost 37% of its worth in just the last few months. On Monday the company released a statement saying it expects to lose money "for a few quarters" starting next year. But just how much do they plan on loosing?

Netflix has already committed to spending $3.5 billion on marketing and content over the next several years. The goal of this massive investment is to "bring domestic subscriber growth back to life and get it started in new overseas markets". While at face value the plan seems logically sound, many critics have raised the question: Can Netflix really afford to spend $3.5 billion? Since 2007, the company has spent more than $1 billion on share purchases, leaving its cash flow at just $366 million. After factoring in roughly $200 million worth of debt, the amount has reduced down to just $13.8 million. As contracted content payments continue to rise and customer return seems slow at best, it is likely the company's recent announcement will hold true.

If the company continues on its current path, experts say competitors such as Amazon, may soon begin to take interests in takeover. Personally, I couldn't agree more. I have a tremendous doubt that Netflix will be able to regain all that it has lost. I feel that competitors will take advantage if the situation and offer the board of Netflix a chance to save their investments and leave with a sizable profit.

http://online.wsj.com/article/SB10001424052970204777904576653022926782608.html?mod=WSJ_business_whatsNews


Possible acquisition of Yahoo by Microsoft

In early September the Wall Street Journal reported on the difficulties that the Internet business Yahoo has currently been facing. One of the sources of income for a mainly Internet based company are the sales of advertisements on their website. Yahoo, as well as others such as AOL, were late to realize the impact and popularity of social networking sites and as a result the popularity of Facebook, as well as competition with Google, has caused them to struggle with advertisements. Yahoo’s percentage of the overall shares of U.S. online advertising market dropped from 16.1% in 2009 to 11% in 2011. Also, Yahoo’s total revenue fell 23% in one year’s time and now Yahoo is in danger of a takeover.

Both Microsoft and Google are the two companies in competition for the acquisition of the company. Both Companies have a lot of cash and would be able to afford to takeover Yahoo, where most private- equity firms are having difficulty borrowing enough money to make billion dollar deals, Google and Microsoft have liquid assets already available. In the case of Microsoft, one possible reason for their desire to acquire Yahoo is their current advertising deal with them. Microsoft’s Bing search engine provides search results and yahoo provides the advertisements and any change in ownership of Yahoo could be unfavorable for Microsoft. The competition with Google comes in with Google possibly wanting to get an advertisement deal with Yahoo, although the government antitrust regulations most likely discourage such a deal. Also, Google probably doesn’t want Microsoft to own Yahoo for competitive reasons making the battle for Yahoo strategically competitive.

http://blogs.wsj.com/deals/2011/10/24/who-needs-banks-in-yahoo-takeover-google-and-microsoft-play-banker/

http://online.wsj.com/article/SB10001424053111903285704576556973446155098.html?mod=WSJ_article_onespot

Monday, October 24, 2011

Oracle in $1.43 Billion Deal for RightNow

Oracle (Software and Programming Corporation) has taken a bold step forward by striking a $1.43 billion deal to acquire RightNow Technologies, a provider of Web-based customer service solutions, as they wish to build their portfolio on cloud-based offerings.  The enterprise software giant is going to pay RightNow’s shareholders $43 a share, under the terms of its deal.

This deal is the product of Oracle’s attempt to boost its cloud-based software systems that are available via web and focus on aiding online retailers improve customer service. Last week, Oracle also purchased Endeca Technologies for an unannounced amount. Oracle’s acquisition, the largest since it purchased Sun Microsystems for $7.4 billion in April 2009, also indicates that Oracle’s appetite for acquisitions is strengthening once again.

Earlier this year, Oracle’s chief, Larry Ellison, said he was restraining his check book and focusing on organic growth because assets were “wildly overpriced.” While the company has made several acquisitions this year, it has largely focused on smaller, privately held companies.

I think that by this growth and organic growth, Oracle will be able to pool their resources and strengthen their market position, as well as their financial stance with their specialised and knowledgeable workforce and have access to a greater customer base in order to succeed. As Oracle is interested mainly in small acquisitions, it means that there is a low level of risk in acquisitions; however, this may limit their scope for growth and high profit, as high risk results in higher profits and benefits. As shown in Figure 1.1, the combined assets of the recent acquisition will give a figure of $74.27 billion, which will make them the biggest company in the Software industry. On the other hand, the combined liabilities would equal to a heavy figure of $33.27 Billion, which means that the company would be in debt to other and will have to insure that the debt is payed off from their retained earnings or by liquidising their assets and perhaps, calculating their Leverage Ratios to measure the degree to which they rely on borrowed money, in order to respond to cash flow issues.

Figure 1.1


Sunday, October 16, 2011

International Computer Firms Hit the US Market

The Computer Software and Hardware industry has had great international influence for a very long time. Many Asian technology brands, from Korea, China and Japan, have challenged US companies for market share since the dawn of this industry. Brands such as Sony and Toshiba have released powerful, consumer favorites that have competed with similar US manufactured products on the market. Sony, a Japanese headquartered brand, has ownership over the VAIO product line.
File:Vaio.svg The VAIO brand has released over twenty different types of computers that are popular from Japan to the United States. Sony has brought in an annual 18.5 billion dollars worth of sales per year. The brand is extremely popular among television and video game sales as well.

Acer is another large brand in terms of internationally based firms. The Taiwan based firm had a net income of over 500 million dollars in 2010. The firm also employs over 7500 employees world wide. Acer acquired Gateway in 2007 and soon became the parent company for the California based firm. According to Gartner's Preliminary U.S. PC Vendor Unit Shipment Estimates for 3Q11, Toshiba and Acer, two foreign firms, will be responsible for 18.5 percent of the US PC Market share. While not the leading brands in the market, both firms hold their own against large American based computer companies.

http://www.macrumors.com/2011/10/12/apples-share-of-u-s-pc-market-leaps-to-12-9-in-3q-2011/
http://us.acer.com/ac/en/US/content/company


The Big Picture of Computer Hardware

Taking a look into the Computer Hardware and Software Industry, one is thrown into a sea of many successful international companies. Most look to the United States, with Apple and Hewlett-Packard commanding a huge share of the industry, but some key players fall over seas. Some huge companies include Samsung, Toshiba, Sony, and Panasonic. The companies listed have produced products not only within the computer software/ hardware industry, but also many other fields ranging from kitchen appliances to television monitors.

These companies can be considered key players in the software/hardware industry mainly because they can be classified as computer system manufacturers. The topic of computer hardware opens the industry up as many other devices run off of computers. For example: Samsung’s phones use computer based processors, LG’s appliances use computer systems to monitor how food is stored or prepared, and Sony, Toshiba, and Panasonic’s TVs use basic computer chips to stream the television that everyone enjoys.

Personally I think that this proves the value of the Computer Hardware industry, as it allows more companies to make a name for themselves. It opens the world to a common industry that can be analyzed on so many levels.

Computer Industry Outsourcing

Manufacturing is a major part of the computer hardware industry and keeping costs low and profit high is always a factor. Many companies such as HP, IBM and Dell outsource production of their products. Because so many parts go into making computers and other electronic devices outsourcing makes sense. In December of 2009, HP set up a $ 1 billion investment plan involving setting up outsourcing centers in India to compete with IBM and Dell because both of those companies were increasing outsourcing in low cost areas such as India. More than 90% of technology productions in low cost areas are located in India because of a growing population of English-speaking computer engineers and India’s desire to gain more outsourcing vendors to join the global market. India has not only a large amount of English speaking engineers but also an abundance of English speaking technical support which is why when someone in the United States needs assistance with their computer, they call the company and get linked with a the support employee in India.

This September, Apple came under scrutiny by environmental activists in China because of some of their supposed supplier plants there. An activist group claims they found polluted canals leading from what the group believes in an Apple plant. Apple does not identify all of their suppliers, which is why they were under questioning. Apple never claimed that specific factory as being associated with them but they did issue an annual report that, this year, reported that Apple identified and corrected 80 facilities that were not storing or handling hazardous waste properly and 41 that were not recycling or disposing of hazardous wastes properly.Outsourcing is a good idea for computer hardware companies to utilize but there are issues that can arise and things that companies should be sure to watch out for.

sources: 1.http://online.wsj.com/article/SB10001424053111903895904576542273644200108.html?KEYWORDS=apple+outsourcing

2.http://online.wsj.com/article/SB10001424052748703296604576005151105178710.html

3. http://www.businessweek.com/technology/content/jan2009/tc20090115_770577.htm

Bright Future for Acer?

Amongst the many global companies in the Computer Hardware and Software Industry, one that truly draws my attention, is Acer. The homepage kindly informs that Acer Group is a family of four brands: Acer, Gateway, Packard Bell and eMachines. This multi-brand strategy allows each brand to pool their resources and benefit from synergy. Thus, they can target different market segments and assure that all customer needs are fulfilled in the global PC market.  Acer ranks No.2 for total PC and notebook shipments with a global workforce of 8000 employees. Merging with Gateway Inc (Oct 2007) and Packard Bell (March 2008), Acer managed to strengthen its presence in the US and Europe. Acer has been able to achieve its sustainable growth worldwide by means of adapting to the trends and collaborating itself with the industry’s top partners.

Acer's PC-centric product offering includes notebook and desktop PCs, servers and storage, LCD monitors, projectors, and smartphones and tablets. Sub-brands include the consumer-focused Aspire series, and commercial sector TravelMate and Veriton series. This product line and overseas alliances has allowed Acer to progress further and excel in the fast-paced IT industry.

Recently, Acer has been focusing on expanding further, thus, the organisation has decided to market in the Chinese market and also taken a more ethical stance by ‘going green’. I believe that in an environmentally conscious society now, investors are looking forward to take the risk of investing in firms that are socially responsible and willing to enter new markets with enhanced products. Acer is managed to be ‘global’ by targeting the middle-class consumers and manufacturing in bulk for businesses.

Apple, IBM, Fujitsu

To many the very mention of the computer hardware and software industry brings thought to US based companies such as Apple, IBM and Microsoft. However, across the globe non-US based companies are quickly growing, expanding and becoming a more dominate force within the industry. One such company is the Japanese based Fujitsu Group. While Fujitsu has been in operation since 1935, it holds relatively low brand awareness to consumers in countries such as the US. Although its brand recognition may not be as high as companies such as Apple or IBM, Fujitsu has rapidly become a key player within the industry. As of 2008, Fujitsu was the third largest IT services provider in the world and the largest in Japan. The companies 172,000 employees brought in a profit of 55 billion dollars at the end of the 2011 fiscal year, from sales and serves provided to over 70 countries. Additionally, Fujitsu has become involved in joint ventures with companies based in prominent countries such as the UK and Germany. The company's latest strategic alliance with Microsoft has increased its influence within the US; which may pose difficult challenges to Fujitsu's top global competitor, IBM.

Personally, I feel that Fujitsu will continue to become a more and more powerful force within the industry. Throughout its history the company has made tremendous strides with technology innovation that have dominated the market in both Japan and around the globe. These strides will only continue to occur as Fujitsu tapes into lucrative foreign markets through joint ventures and strategic alliances. The companies current strategic alliance with Microsoft caught my attention and leads me to believe that Fujitsu will become larger player in both the US and the world


http://www.fujitsu.com/global/about/profile/info/

Monday, October 10, 2011

The Race to the Top

Corporate competition is a driving factor of all major industries. Competition allows companies to create superior products, offer better services and innovate all merchandise lines continuously. The Computer Software and Hardware industry is a prime example of a line of trade that experiences cut throat competition and extremely high demand. While all companies offer new and advanced technology, each respective brand works constantly to differentiate themselves. Specifically, focusing on offering cutting edge technology that’s high in demand by a consumer base with even higher expectations for the products they purchase.


Apple has created a brand that is synonymous with creativity and simplicity. Apple’s product lines, that have revolutionized a plethora of industries. have a focus on the ‘little things’. Apple computers offer applications such as Launch Pad and Mission Control that provide an easy, graphically pleasing approach to help organize an individual’s use of the personal computer. In the 1990’s, Apple changed the industry forever by launching the first clickable computing system. Since then, they have found ways to make technology more functional. In the present day, products such as the iPad and iPhone allow for portable computing and the ability to carry technology, with the ability of a personal computer, in ones own pocket. Apple’s branding has successfully distinguished the company as a leader in Computer Software industry.


PC brands have worked hard to focus the branding of their products towards a business based consumer. Computer firms such as Dell and HP strive to offer software that allows for quick and efficient data entry and fantastic word processing. PC owners also enjoy great gaming abilities which many computer based game users cannot find with Macintosh computers. The distinction between Mac and PC products has single handedly divided an industry and sent firms striving to find a unique identity for their line of products. Brands that do not keep updated on the advancements of technology often find themselves left behind by the consumer market. Dell is such a firm that has experience this reality of the industry. In 2006 Dell controlled over 15% of the market share for PC members. As of 2010 that amount has decreased to about 12% and many believe it is due to lack of advancement in their technology.


http://www.gartner.com/it/page.jsp?id=1519417

http://www.switched.com/2008/08/06/mac-vs-pc-6/


Sunday, October 9, 2011

Is Apple Falling?

Many thought that with all of the rumors, that Apple was producing an iPhone 5, which opened up endless discussion about new features. When the iPhone 4S was announced many were disappointed. The release of the iPhone 4S has put Apple in a new predicament. Now many are looking to other companies as an alternative in the smart phone field. Samsung’s new model the “Nexus Prime” has jumped in as a possible alternate. The new model has a curved screen to prevent others from seeing from a side angle. It will also feature the 1 GB of RAM (adding to the 32 GB of built in storage), a dual core processor for easy use, and the new Android 4.0 mobile OS. These impressive features have proven to be a huge selling point to enraged Apple customers. Many thought that with all of the rumors, that Apple was producing an iPhone 5, which opened up endless discussion about new features. When the iPhone 4S was announced many were disappointed. Samsung has postponed their release in respect to the passing of Steve Jobs, but the product is projected to do very well.

This pertains to the field of hardware and software, as it simply opens up the competition within the Smartphone sector of the industry. Many are now starting to look into whether the iPhone 4S and the passing of Steve Jobs will affect the computer giant.

http://sanfrancisco.ibtimes.com/articles/227722/20111009/samsung-nexus-prime-can-it-deliver-what-iphone-4s-couldnt.htm

Recent Consumer Behavior Trends Influencing the Industry

IFA- Berlin is the world’s largest trade show focused on consumer electronics. This year’s show was held from September 2-7 in Germany and Euromonitor International, a market research company, identified four of the main trends in global consumer electronics in 2011. The first is the growing middle class, which has become a focus for companies to advertise to because of more single and/or working parents and a willingness of the middle class to reward themselves for hard work. The second trend in companies catering to consumers is a global increase in woman in the workforce in need of electronics. In the past companies would appeal to the female demographic by making their product available in colors such as pink or red but companies are now catering to more than just a more feminine color scheme. One tablet by Samsung makes their product more user friendly for woman with long fingernails by including a stylus for text applications. the third trend is that companies are ignoring the elderly as a demographic to focus on because even in the most developed sections of the world the elderly take up at most 18% of sales. The trend of ignoring the elderly demographic could end up hurting some companies because in places like India and China the elderly take up a large chunk of the population that companies could be alienating. The fourth trend that could help companies is the increasing amount of the global population that views mobile devices as a necessity and companies are focusing on the connected population and developing markets.

source:http://www.portal.euromonitor.com/Portal/Pages/Search/SearchResultsList.aspx