May 19, 2004

IBM's latest projectors - giving what Dell is missing

IBM today announced its new featherweight microportable projector, the 2.4-pound M400. Although 30 percent smaller than its predecessor, the M400 delivers 60 percent better contrast, enabling users to present important business information in the office or on the go.

I had some questions about IBM selling projectors and an IBM spokesperson provided some answers (further below) - including what separates a Dell and IBM projector.

From IBM's press release Critical business activities, such as the ability to make a point, close a sale, or teach a complex concept, place digital projectors at the heart of a company's operation and ongoing success. iSuppli/Stanford Resources forecasts that industry-wide unit shipments are expected to grow more than 150 percent between now and 2006.

"Projectors were once a luxury, but are now becoming a necessity for business communication of all types," said Bob Galush, vice president, Product Marketing, Personal Computing Division. "Whether users are presenting in a boardroom, hosting an employee seminar or selling to a client, projectors are an essential component of the business professional's tool kit."

For example, a recent survey by the National Business Travel Association (1) indicates that business travel is ready for a rebound. Paired with IBM's latest ultraportable ThinkPad X40 notebook, the projector and PC together weigh just 5.1 lbs. (2), well suited for traveling professionals who are constantly required to make mobile presentations. Users armed with this compact and lightweight package can easily move meetings and presentations from the office to the conference room, stow the equipment away in an overhead compartment for a business trip, or even carry it home for last-minute corrections or to project DVD movies.

IBM answers smallbiztechnology.com

Why did IBM enter this space?

IBM entered the projector market from a brand perspective in the fall of 2000. The projector market is one of the fastest growing industries so there is a lot of potential opportunity for IBM. By offering projectors, IBM equips the mobile professional with an end to end solution. Instead of having to worry about the availability or compatibility of projectors at different venues, users can be assured they have a unit that complements
their system when and where they need it.

Is there not so much competition already, not to mention Dell?

IBM entered the projector business before Dell. When you compare to Dell you have to compare warranties. IBM offers a 3-Year Warranty up-front because we have confidence in the value and quality of our projectors. Dell offers warranty pack upgrades, but at a premium. Users would have to upgrade Dell's warranty at additional cost to match ours.

Does IBM expect to get significant market share?

Of course, that's why we are in the business. Though we do not disclose market share numbers, we can say that because of our competitive pricing we will gain marketshare in the industry.

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