Feeds

Compaq stagnates in Q1

Picks up after that

  • alert
  • submit to reddit

Protecting users from Firesheep and other Sidejacking attacks with SSL

Compaq CEO Michael Capellas forecasts zero growth for the company in Q1, and overall growth for the first half of 2001 of 5 per cent - half of the 10 per cent achieved in the same period last year.

Capellas made the predictions in an interview with Der Spiegel, the leading German news magazine. Certainly, they are not out of line with consensus analyst forecasts of 6-8 per cent for the full year.

Last week, Capellas told Sunday Business, a UK newspaper that he was comfortable with analyst forecasts, while hinting strongly that he anticipated growth at the upper end of the range.

In the Der Spiegel interview, as reported by Reuters, Capellas said the 'classic' PC industry was 'gradually becoming the "Old Economy" of the information technology sector. "Our task in the future will not be to put cumbersome boxes on people's tables," he said. (Doesn't it have resellers, disties and retailers to do this?)

At some point in the next few months, analysts expect Dell to overtake Compaq as the world's biggest PC maker. Compaq disputes this - it counts iPaqs as PCs. But judging from Capellas' comments, it looks like the company will cheerfully cede top dog status in PC box shifting.

Compaq always has huge margin-fat business in storage systems, servers and services to fall back onThis will play well with Wall Street. But what about Compaq's corporate heartland - the companies that buy Compaq for the same comfort blanket reason they used to buy IBM?

De-emphasise low-margin PCs too much, and Compaq risks throwing out the baby with the bathwater. ®

Related stories

Reuters: Compaq sees sales slowdown
Dell plans big layoffs - Client Server News
Capellas puts the fun back into Compaq
European PC market hit by soft Euro
Compaq suffering iPAQ
Compaq hits reduced Q4 targets

Website security in corporate America

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Apple CEO Tim Cook: TV is TERRIBLE and stuck in the 1970s
The iKing thinks telly is far too fiddly and ugly – basically, iTunes
Israeli spies rebel over mass-snooping on innocent Palestinians
'Disciplinary treatment will be sharp and clear' vow spy-chiefs
Huawei ditches new Windows Phone mobe plans, blames poor sales
Giganto mobe firm slams door shut on Microsoft. OH DEAR
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Found inside ISIS terror chap's laptop: CELINE DION tunes
REPORT: Stash of terrorist material found in Syria Dell box
OECD lashes out at tax avoiding globocorps' location-flipping antics
You hear that, Amazon, Google, Microsoft et al?
Show us your Five-Eyes SECRETS says Privacy International
Refusal to disclose GCHQ canteen menus and prices triggers Euro Human Rights Court action
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.