Manufacturers Fail To Crack US Home Market

PC vendors are failing to penetrate the home market for computer sales in the US, despite the recent rounds of price reductions.

According to a survey by Odyssey Ventures, less than one-third of home PC sales are going to first-time buyers, a sharp fall from the previous figure of 50 per cent.

The survey also found that 32 per cent of home computers were purchased by first-time buyers, with the rest being sold to repeat buyers. The number of US households with a PC remains unchanged at 37 per cent.

Manufacturers such as Compaq and NEC Packard-Bell have slashed prices to as little as $1,000 in order to attract the home sector.

Odyssey president Nick Donatiello said the drop in first time buyers was a ?slap in the face? for the industry.