Industry in need of consolidation
Gianfranco Lanci, the man behind the company's renaissance
over the past couple of years, says the industry needs consolidation,
and that some companies are bound to be squeezed out of the market.
In a recent interview, Lanci said the top three PC makers, HP, Dell and
Acer, need to take out Toshiba and Sony. He claims Japanese PC makers
are "at the weakest today". The idea is that the big three could end up
with a higher market share, allowing them to get better prices from the
likes of Quanta and Compal.
This would obviously enable the top PC makers to increase margins and
drop retail prices, making their products even more competitive and
squeezing the little guys out.
Lanci also said that Asustek and Lenovo need to take a long hard look
at their aspirations of functioning as independent companies. He says
Lenovo is heading in the wrong direction, and that it has been
struggling since it acquired IBM's PC business.