Zeev's Turnips Patch-No Politics (ZEEV)

[Huluriasquias]

Everything stated in the article is true, but it misses the real reason for the trend towards cheaper notebooks:

*** LCD screen prices are finally coming down strong. ***

The screen used to be almost half of the cost of a notebook computer, and the main reason for its higher price. High margin LCD prices have moved to HDTV screens, (which are larger) and computer screens are becoming commodities.


>>>>>>>>>>>>>>>>>>>>>>>
That can only mean good news for the computer industry because laptops have higher margins than their rival the desktop.
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This again is another half-truth: notebooks have (slighter) higher margins but lowering screen prices are having the effect of commoditizing laptops not helping computer industry much.

I just bought a nice laptop for $540 bucks, (because I needed it) and I expect to be able to buy one by Xmas for $400. I doubt Compaq (HP) is making much money out of it.

H.