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Averatec Focusing On Netbooks, All-In-One PCs

3/04/2009 09:40:00 AM Eastern

New York — With the PC market expected to remain in tatters for 2009, niche-player Averatec will hope to make its mark in the popular netbook space.

CEO Tae-Hyun Cho believes Averatec’s history as a maker of low-cost ultra-portables perfectly positions the company for the netbook business.

“The netbook and ultra-portable lines are quite blurred and we want to bridge that gap,” he said.

The popularity of the inexpensive and low-powered netbooks also makes the category appealing to Averatec, particularly in light of the recession when consumers have to be very picky about what they buy. A recent report by Gartner expects netbooks to be the only growth area in the computer category in 2009.

Averatec’s plan is to release a next-generation netbook in the latter part of 2009 that incorporates a better industrial design and performance than current models, but at the same sub-$500 price point now carried by most models, Cho said.

These will be joined by a new batch of conventional notebooks, he added.

Averatec is also pushing ahead with its foray into the all-in-one computer space that it entered a few years ago.

Cho said the all-in-one category, while still a niche, is most likely the next evolutionary stop for the desktop.

Cho has high hopes for all-in-one PCs.

Averatec expects the all-in-one market to grow about 20 percent this year, but that will not be enough to stop the steady decline in overall desktop unit sales.

The company’s all-in-one strategy follows the same ideal of delivering performance at a value price point, Cho said. Averatec recently began shipping four new models priced between $549 and $899. These are selling in Best Buy, Wal-Mart,, and

These units are intended as second or even third family computers that can be placed almost anywhere in a home due to their small footprint, said Henry Hewitt, sales VP.

Because these computers could end up in front of a family’s guest, Averatec is taking care with the design so they will not detract from a living room or kitchen, Henry said.

“It is now all about design. Apple has proven that,” Hewitt said.

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