Acer Doesn’t Feel Poor Sales are a Reason to Give Up on Tablets

December 26, 2011, By Sanjeev Ramachandran

Acer is in no mood to give up on tablets. Going by what founder Stan Shih has feels, poor sales quotients are no reason for the company to give up tablet production.

His remark comes as quite significant for Acer as huge losses have been incurred by the company due to the research and development of tablets in the past few months.

Acer’s products included desktop and laptop PCs, tablet computers, servers, storage devices, displays, smartphones and peripherals. It also provided e-business services to businesses, governments and consumers.

In the early 2000s, Acer implemented a new business model, shifting from a manufacturer to a designer, marketer and distributor of products, while performing production processes via contract manufacturers.

In addition to their core business, Acer also owns the largest franchised computer retail chain in Taipei,Taiwan. Considering two consecutive quarters of net losses in 2011, realized to occur due to the products which Acer sells, including 101 individual notebooks, netbook sand Chromebook SKUs in the United States only. Acer will cut product lines by two thirds by the beginning of 2012.

Though no details are out yet, there are speculations that Acer is planning to introduce quad core tablets in the coming CES to boost up its sales which currently is in a very bad condition despite of the fact that there is a gadget boom going on right now.

The incompetence is killing Acer’s product line but they will soon recover with the launch of new cutting edge products by mid 2012.

Do you think Acer is on the right track?

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