Dell, HP struggle with consumer PC businesses
20.05.12
Two companies largely known for their PC brands are taking their lumps as consumer demand dries up and a hard drive shortage continues to wreak havoc.
Dell and HP both reported earnings this week and painted a PC demand picture that’s shaky.
HP CEO Meg Whitman said on a conference call that “the hard drive shortage and continuing difficulties in China contributed to a revenue decline of 15% year-over-year” for the PC unit (PSG). HP reported better-than-expected profits in the first quarter, but revenue and the company’s outlook missed estimates .

Meanwhile, HP is struggling with innovation. If ultrabooks don’t become a hit HP won’t have many answers. “For all that’s right with PSG, we underinvested in innovation for the last several years and we’ve been late to market too often. We have to lead again,” said Whitman.
[ Via: ZDNet (blog) | Read more... ]