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IP: * 09.04.04, 10:43
HP aims to ship 11 million notebooks in 2004

David Tzeng, Taipei; Steve Shen, Friday 9 April 2004

Hewlett-Packard (HP) now expects to sell 11 million notebooks in 2004, a 10%
jump from its earlier target of 10 million and an increase of close to 70%
from the 6.5 million it shipped in 2003, according to sources at HP’s
contract makers in Taiwan.

HP’s revised target for 2004 is achievable after the company managed to push
up its notebook sales to 6.5 million units in 2003 from 3.8 million in 2002,
the sources quoted data released by International Data Corporation (IDC) as

Two Taiwanese notebook makers – Compal Electronics and Inventec – will play a
key role in HP’s thrust to push its notebook sales up this year, said the

Compal, which manufactures consumer-use models for HP, is expected to ship
between three and four million notebooks, including models with AMD’s Athlon
64 processors, to the US vendor this year.

Inventec, which handles the production of business-use models, is expected to
deliver 2.5 to three million units to HP in 2004, according to the sources.

Quanta Computer, the world’s largest notebook maker, is also a major contract
maker for HP, expecting to ship more than one million notebooks to HP in
2004, said the sources. Quanta however will make around four million
notebooks for Dell this year, the sources added.

Wistron became a new contract partner for HP this year and is expected to
begin volume shipments to the US vendor in the third quarter, said the

Some sources at HP’s notebook and component contract makers said that HP
outperformed other vendors like Dell and Toshiba last year by aggressive
pricing. The sources are skeptical about HP’s 2004 target as the pricing
flexibility it enjoyed in 2003 no longer exists.

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