HP Price-Cut Threats Leave Rivals Unfazed; 'Clear Actions' Planned; HP has the most to lose from starting price war, other printer makers say.(INTERNET & TECHNOLOGY)

Byline: KEN SPENCER BROWN

What if Hewlett-Packard declared a price war and nobody came?

That's the scenario rival printer makers are painting after HP recently promised shareholders it will take "clear actions," such as price cuts and promotional discounts, to boost its market share.

Vyomesh Joshi, who heads HP's printer and personal computer unit, vowed to regain market share it lost in its first quarter. During the company's earnings conference call last month, he said the firm is focused on boosting sales -- even at the cost of lower profit margins.

If that's a challenge to the industry, it's going largely ignored. Executives for Lexmark International, Epson and Canon say HP's statements will have little effect on their strategy over the next months.

"This supposed new news is not anything that would change our behavior," said Lexmark Chief Financial Office Gary Morin. "The last thing in the world we want to do is respond to rhetoric."

A price war would hurt HP more than its rivals, he says. Unlike HP, which sells leading-edge features for a premium, Lexmark offers mainstream fare at lower prices.