Is the PC market collapsing? Global shipments of PCs are down almost 14 percent over last year, the biggest drop since market-research firm IDC started tracking the data in 1994. And, as the WSJ reports, a private-equity firm has withdrawn a bid for the PC-maker Dell:
[Private-equity firm] Blackstone on Thursday told a special Dell board committee negotiating a sale of the company that, after weeks of review, it wouldn’t be moving ahead with a bid. It cited an “unprecedented” decline in PC sales and Dell’s “rapidly eroding financial profile.” […]The New York firm’s retreat was the latest jolt in one of the biggest takeover dramas in years, a fight that is increasingly representing a referendum on the future of the PC business.
It looks like these dudes aren’t getting a dell.The assumption has always been that there was an almost infinite demand for more powerful and faster computers. But maybe Moore’s Law has brought us to a new frontier. Maybe business users don’t see the need to run Excel a little faster.It seems to us less likely that humanity has come to the end of its demand for more processor power than that software industry hasn’t developed the new killer apps that turn the next PC generation from shiny toys to must-have working tools.It has never been raw processing power that drives the IT revolution but the software engineers who figure out how to make that power useful.[Blue screen of death image courtesy of Wikimedia.]