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Domestic PC makers feel chill.

Asia Africa Intelligence Wire

| December 08, 2004 | COPYRIGHT 2003 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From China Daily)

When Sun Peishu, chief of the Chinese computer maker Langchao Group, said in 2003 that multinationals would make all-round attacks on China's IT market, many people thought Sun was too pessimistic.

Sun made the prediction at the 2003 China CEO and CIO Summit, one of the biggest annual gatherings of Chinese information technology industry executives.

At that time, domestic firm Lenovo was still the biggest computer maker in the country, although IBM took back the number one title in the notebook segment in the second half of that year.

In the cellphone market, domestic makers took more than a half of the share.

At the summit's 2004 session, on November 14, Li Jianhang, vice-president of the third largest domestic computer maker Tsinghua Tongfang, said that 2004 was the most difficult time for the personal computer (PC) sector in the last five years.

This time, however, his feeling was echoed by peers.

Domestic computer makers have surely felt the chill of a slowdown in market growth and a lack of sufficient customer demand.

A cooling autumn The third quarter is usually a hot season for computer sales, as students purchase computers during the summer vocation in July and August and parents buy computers to their children going to…

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