Today, PCs’ value proposition as the internet device has been permanently taken away by smartphones and tablet. Better PC hardware can’t help the poor consumer reaction to Windows 8 Operating System either.
Acer and ASUS launched new PC and tablet products at Computex hoping to to drive the replacement demand the PC industry. However, PC used to be the key (in some regions, the only) vehicle for consumers to access the internet, but now smartphone/tablet offer consumers an alternative way to access the internet, and in some cases, with lower cost structure and better user experiences.
PC industry unit data already show that the launch of Win 8 OS has not changed and, in some cases, even accelerated the course of the PC industry decline, and we believe it is beyond what the OEMs can do to reverse it at this time.
As smartphone and tablets are “convergence devices” that converge multiple functions/devices into one piece of hardware, PC OEMs are learning from that and have started “converging” different PC products into one, initially with NB / tablet (detachable NBs) and later with NB/tablet/desktop (such as Acer Aspire R7).
In Short, We believe this may confuse mainstream consumers, as the convergence in smartphone is driven by the extension of functionality with the similar hardware form factor (thus driving the maximum consumer acceptance), but the PC industry needs to change the form factor significantly (adding touch panel, special hinge, etc.) in turn drastically changing a consumer’s user behavior, and sometimes neutralising the user benefits (size, weight, price, etc) in different cases.
Microsoft should “Think out of the Box” like Google does and revamp its entire product line before its too late.