Will Ultrabooks Act as a Survival Catalyst for Hewlett-Packard?
Hewlett-Packard (NYSE:HPQ) has unleashed a line of ultrabooks with the starting price of $999.99. The computer giant also has plans to reveal a number of ultra-like models priced from $600-700 in Shanghai, China.
In order to produce low-price ultra-like models, HP compromised on hardware specifications, including the adoption of AMD’s (NYSE:AMD) CPUs and traditional hard disc drives and chassis. The PC manufacturer has maintained certain display sizes that range from 13 to 15 inches.
Many companies are expected to respond in kind with their own ultra-like models. Acer, Asustek Computer, and Lenovo will unveil ultrabooks in June. The race to get ultra-like models on shelves follows Intel (NASDAQ:INTC) and Microsoft’s (NASDAQ:MSFT) unwillingness to lower the prices of related hardware and software products for ultrabook models.
Acer has been slow to promote its ultrabooks. The company has lowered the ratio of ultrabooks to its total notebooks shipments in 2012 to 12-20 percent, down from 25-30 percent as originally projected. However, Acer’s new shipment ratio for ultrabooks could still be higher than most rival brands.
Notably, International Data Corporation has forecast that ultrabook models will account for only 5 percent of global notebook shipments in 2012 before topping 10 percent in 2014. But whether these devices will prove successful in a post-PC world is yet to be seen.