The Register – Gateway has said it will buy low-cost PC maker eMachines in a bid to boost its market share around the world and in the US market in particular.
[ The Register ]
The most amazing quote in the article for me was:
bq. Gateway hopes that the cost savings it expects to make by merging with eMachines’ operation, plus increase sales volumes – with eMachines’ PC sales covering its own decline in that arena, along with its successful push into consumer electronics – and the benefits of eMachines’ better margins will drive it back to sustained profitability sometime in 2005.
Since when do established companies buy relatively new economy plays for their better margins? Gateway’s core business must be hurting even worse than it seemed.
Gateway buys eMachines
Tags: business · cle · HTML · it · mac · merging · quote · UK
The Register – [ The Register ]
The most amazing quote in the article for me was:
bq. Gateway hopes that the cost savings it expects to make by merging with eMachines’ operation, plus increase sales volumes – with eMachines’ PC sales covering its own decline in that arena, along with its successful push into consumer electronics – and the benefits of eMachines’ better margins will drive it back to sustained profitability sometime in 2005.
Since when do established companies buy relatively new economy plays for their better margins? Gateway’s core business must be hurting even worse than it seemed.