Wednesday, September 16, 2009

to HP. What's going to happen to margins now that Samsung is in the game.

In retrospect, Carli's decision looks worse and worse and IBM's decision looks better and better(2me).

The coming battle is going to require as much management focus as possible. Lenovo is focusing on China. Dell is an awesome competitor in the States and every where else. Going forward it's plausible to believe that the Yen will be allowed to appreciate.

Meanwhile Indigos seem(2me) to be in the lead for output device of choice for commercial printers. HP is probably number 1 on the desktop. Inkjet is seriously threatening toner.The digital web press could be a category killer.

It's time to stop going for bragging rights and morph into appropriate business models for the new normal. C'mon HP either spin off the computers or spin off the Print. The problem is not market share. The problem is a sustainable margin.

Samsung To Take On HP, Dell, Lenovo With New Products, Services, Programs
By Steven Burke, ChannelWeb

Samsung, which dominates a sizable chunk of the consumer electronics market, has launched an ambitious plan to take on HP (NYSE:HPQ), Dell (NSDQ:Dell) and Lenovo in the commercial IT business with a full panoply of products and services.

Doug Albregts, new Samsung vice president of sales and marketing, said Samsung is set to launch a partner-led assault into the commercial IT services market, planning on expanding its PC and notebook lines, and is even eyeing blade server and networking markets as part of its all-out drive to be No. 1 in the commercial IT market.

"We will become a viable, full commercial solutions company," said Albregts in an interview with at Samsung's Samsung Experience showcase in New York. "Our goal is to really set our sights on Dell, HP and Lenovo. Before we set our sights on peripheral companies."


  1. I agree, IT IS TIME FOR A CHANGE! companies have been competing too much and forgot what kind of products they are releasing. I think Dell has a long way to go before they catch up to companies like HP. there is no way that their quality matches that of HP and has been known more for their low prices rather than their power and strengths. Samsung may definitely make in impact, like they do in every field they get involved in, but the common names like Dell and HP will not allow for Samsung to outsell them.

  2. I have to say that "Dell and HP will not allow" may have worked once. But doesn't work for me any more.

    I think the market of the last years have shown pretty conclusively that "good enough" quality at the right price, sold in the right way, wins time after time.

    The story I directly lived through was "desktop color" and "desktop typography." The talk then was all about quality, quality,quality.

    The reality is that when a well resourced innovative player enters the space, the quality naturally goes up over time.

    in the last few years, the number of examples of exactly this kind of evolution are too many to list here.

    The best stuff I've read on this dymanic is almost anything written by Clay Christensen.