CONSUMER DEVICES PC Growth Slowing, Intel To Chip Away At A Music Market.(A)(Internet & Technology)

Byline: James DeTar

Investor's Business Daily

Companies that make Internet music players, already disappointed by holiday sales that failed to meet expectations, have another worry - a potentially big one.

Intel Corp., the world's largest chipmaker and one of tech's Goliaths, wants tomake a little digital music of its own. The company, in one of its few moves in the consumer market, says it plans to make and sell its own portable music player, the Pocket Concert.

With the growth rate of personal computers and the Intel chips that power most of them slowing, Intel is targeting markets that are "emerging and growing," said John Middleton, marketing manager for the company's consumer products unit.

Some analysts, though, questioned the move by Intel into a market seemingly unrelated to its main business. Critics include Dave Nadig, executive vice president of investment firm Metamarkets.com.

"It's hard to get really excited about this," Nadig said. "It's almost ridiculous. I question whether this (portable music player) is even hot enough a consumer segment to do the company any good."