Baker and Kay both pointed to the economy as a contributing factor. The stock market is a contributor to this. The Nasdaq is half what it was in March. Considering consumer purchases of PCs are completely discretionary, the economy is a big factor. Other types of high-end gadgets also tend to draw people away from PCs, which are no longer as exciting by comparison.
Cell phones are cool.
In fact, while retail PCs sales are way down, sales of notebooks, peripherals and gadgets are way up. The week of Nov. 5, for example, notebook sales rose 12.8 percent in units and 17.5 percent in dollars over a year earlier, according to PC Data. NPD Intelect had notebook unit sales up 8.44 percent for October. While notebooks represent less than 25 percent of the combined PC and portable market, the sales increases are significant, Meier said. That portability thing and the cool factor all play into it.