Computer makers enjoyed a remarkable resurgence in 2004, according to research published this week by industry analysts Gartner and IDC. Manufacturers shipped anywhere between 177 million and 189 million units for the year. That's at least 12% growth from 2003.
IDC's data shows Motley Fool Stock Advisor pick Dell
HP's misfortune, though, may augur a broader trend toward slower but still strong PC growth in 2005. Gartner says that for a while, consumers have bought all the computers they're going to buy. Instead, businesses, which are always upgrading their aging systems, will drive the market in 2005. In fact, demand is expected to grow by 10% this year.
Though that's slower growth than during last year, the pie -- at least here in North America -- is technically a little bigger, especially now with IBM
Apple is an obvious bet, of course. But Gateway is a different story. Negative earnings and cash flow have dragged the company down since 2001, yet its famous bovine boxes are being spotted everywhere these days. It has greatly increased distribution through deals it has struck in recent months with Best Buy
For related Foolishness:
- Dell's frightening efficiency may be too much for any of its competitors.
- Apple has actually managed to live up to its iHype.
- Fellow Fool David Marino-Nachison pondered Gateway's fourth quarter last month. What do you think?
Dell is one of David Gardner's most successful picks for subscribers to Motley Fool Stock Advisor. He and his brother Tom continue to slap the market silly with their selections. Want in on the action? No problem. You can subscribe without risk for six months.
Fool contributor Tim Beyers owns way too many computers, but most of them are Macs. He didn't own shares in any of the companies mentioned in this story at the time of publication. To find out what stocks Tim owns, check out his Fool profile.