Back-to-School Notebook Sales Hold Steady...for Now (MSFT)
Tweet
Share
E-mailGet Alerts MSFT Hot Sheet
Price: $373.59 +1.70%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 1%
Revenue Growth %: +14.7%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 1%
Revenue Growth %: +14.7%
Join SI Premium – FREE
It's only a matter of time.
According to new research from NPD, sales of PC notebooks beat expectations for the back-to-school shopping season.
Sales of Microsoft (Nasdaq: MSFT) Windows-equipped notebooks fell 4 percent in July and August, while August 2011 sales increased 4 percent over the same period last year.
Average selling prices (ASPs) fell 7 percent to $477 per unit in July and August, NPD reports. Additionally, 65 percent of notebook sales over the period were for units priced at $500 or less, which is up 12 percent compared with the same period last year.
NPD notes that "point-of-sale (POS) data indicates that after a shortfall early in the year that was mostly related to the difficult comparisons to the binge of buying after the release of Windows 7, the Windows notebook market remains solid..."
Notably, notebook sales fell 12 percent in the first-half of 2011.
But, as said before, it's only a matter of time before tablets eat-up this market too. One reason many students continue to choose notebooks is for the easy keyboard, which tablets don't have. The keyboard on a notebook also acts as sort of a screen-protectors as well when it's closed, while a tablet PC remains vulnerable to cracked screens while transporting.
Behold then, the Acer ICONIA W500. The tablet, with a keyboard docking station that is removable, sells at the higher-end range of student budgets; TigerDirect is slinging the product for about $560, ex-shipping. The tablet has a dual core AMD (NYSE: AMD) processor, with 32-GB of memory (we're assuming that's probably expandable). It runs Windows 7, and has a 10.1-inch display.
This isn't a sales pitch for the Acer specifically; many more tablets out there have the same features and detachable keyboards. The point here is that this example of a portable PC with keyboard highlights where tablets for students and businesses may be headed.
Who knows, maybe manufacturers will make the stand a separate entity from the tablet, with massive amounts of storage and processing power while that tablet is connected to run graphics heavy programs or allow for simpler multitasking while connected. Should you remove the tablet, you might sacrifice a little bit of storage and speed, but increase portability.
Either way, this is a primary example of why notebooks and PCs will continue to face challenges as consumers continue to become more tablet hungry.
According to new research from NPD, sales of PC notebooks beat expectations for the back-to-school shopping season.
Sales of Microsoft (Nasdaq: MSFT) Windows-equipped notebooks fell 4 percent in July and August, while August 2011 sales increased 4 percent over the same period last year.
Average selling prices (ASPs) fell 7 percent to $477 per unit in July and August, NPD reports. Additionally, 65 percent of notebook sales over the period were for units priced at $500 or less, which is up 12 percent compared with the same period last year.
NPD notes that "point-of-sale (POS) data indicates that after a shortfall early in the year that was mostly related to the difficult comparisons to the binge of buying after the release of Windows 7, the Windows notebook market remains solid..."
Notably, notebook sales fell 12 percent in the first-half of 2011.
But, as said before, it's only a matter of time before tablets eat-up this market too. One reason many students continue to choose notebooks is for the easy keyboard, which tablets don't have. The keyboard on a notebook also acts as sort of a screen-protectors as well when it's closed, while a tablet PC remains vulnerable to cracked screens while transporting.
Behold then, the Acer ICONIA W500. The tablet, with a keyboard docking station that is removable, sells at the higher-end range of student budgets; TigerDirect is slinging the product for about $560, ex-shipping. The tablet has a dual core AMD (NYSE: AMD) processor, with 32-GB of memory (we're assuming that's probably expandable). It runs Windows 7, and has a 10.1-inch display.
This isn't a sales pitch for the Acer specifically; many more tablets out there have the same features and detachable keyboards. The point here is that this example of a portable PC with keyboard highlights where tablets for students and businesses may be headed.
Who knows, maybe manufacturers will make the stand a separate entity from the tablet, with massive amounts of storage and processing power while that tablet is connected to run graphics heavy programs or allow for simpler multitasking while connected. Should you remove the tablet, you might sacrifice a little bit of storage and speed, but increase portability.
Either way, this is a primary example of why notebooks and PCs will continue to face challenges as consumers continue to become more tablet hungry.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Active options: MSFT WULF PLTR NOK AMD GOOGL IBM META CMG SMCI HOOD AVGO
- LAM vs. AMAT: Which chip should you own in 2026? Morgan Stanley answers
- Chevron signs 20-year power deal with Microsoft for West Texas
Create E-mail Alert Related Categories
Insiders' BlogSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
