Sunday, October 23, 2005

Computer bargains

According to analysts, we should see prices for PCs fall before Christmas (this is due to excess of chip production by the Intels and AMDs of the world). Experts predict PCs for less than $199 this year--and not only Celerons, but Pentiums, too.

The lower prices are driven by high chip inventories. The chipmakers and PC builders like Dell and HP built up their inventories with the expectation they would sell off these chips before Christmas. And to the delight of consumers like you and me, this is exactly what we will see. PC makers have to get rid of the inventory before the chips gets obsolete--a perfect situation for bargain hunters.

Look for higher-end features and bundles introduced with lower prices. Black Friday (November 25) is when you can expect to see these deals hitting the shelves.

PC makers are looking for buyers to upgrade from the standard packages and drive profits by buying/ordering better equipped machines. Very likely, but I can still find uses for those bargain basement $199 PCs.

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