Netbook phenomenon will not last

WELLINGBOROUGH, UK: After a surge in 2008, netbook shipments are forecast to grow dramatically in 2009, at a rate of around 140 percent, with a further strong performance predicted for 2010.

However, according to a new report on the World notebook PC market from IMS Research, this strong growth in netbook shipments is forecast to slow dramatically by 2012.

The strong growth in netbook shipments is primary attributed to their low price, coupled with some dramatic improvements in performance and increasing demand for internet access. There has also recently been much stronger promotion of netbooks by the leading brands and by some telecom operators.

However, there are also some factors that restrain netbook market growth, including a small screen and keyboard, simple functionality, limited feature set, and, most importantly, competition from low-priced traditional notebook PCs.

Research Director, Richard Jun Li commented: ”Netbooks are not a revolutionary product that can replace traditional notebook PCs. A netbook is really just a type of notebook PC that meets the needs of entry level computer users, such as students, budget conscious consumers, or those that need to be out of the office or home frequently and require fast and easy access to the internet. These factors all imply that this market sector will mature pretty fast after its early stellar growth”.