Netbooks causing permanent decline in PC prices

March 6, 2009 at 12:18 pm

RecessionAccording to Technology Business Research (TBR), the introduction of the netbook segment combined with the credit crunch is causing a structural and permanent decline in average selling prices (ASPs). In its latest report, TBR says that average ASPs in Q4 2008 fell by 13 percent causing revenues to decline by 18 percent.

In light of the credit crunch, consumers are looking to buy cheaper models, however TBR believes that this phenomenon is here to stay for the foreseeable future. “Netbooks showed both consumer and business purchasers that, for most uses, they do not necessarily need top-of-the-line PCs. The recession is driving customers to value-based decisions and they will retain the habit long after an economic recovery. Like the gasoline price shocks of 2008 and the 1970s, the recession is causing PC buyers to downsize,” TBR observes.

Via iTWire.


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