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January 23, 2003

News Factor: Can Mini-PCs Mean Maxi Profits?

My spin: Hamm a mini-pc that you can't upgrade...I'm not so sure that would be for me. I just bought a $255 733Mhz, 15GB hard drive, 128MB of RAM PC from ebay. A $200 - $300 mini-pc that I can't add on to doesn't sound like such a great deal to me.

Gigabyte Technology has seemingly entered the PC market 10 years too late. Computer sales were stagnant in 2002, and after years of turmoil, brand-name PC makers have shrunk to a half-dozen survivors, with three manufacturers -- Dell (Nasdaq: DELL) , Hewlett-Packard (NYSE: HPQ) , and Gateway (GTW) -- controlling nearly half the consumer market. On Jan. 7, Gateway announced that its fourth-quarter sales and earnings would come in below expectations. Yet Gigabyte, the world's No. 3 maker of motherboards, started making standard desktops a year ago. (full story)

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