I myself am confused with the whole PC business at this point in the game. Recently, I posted that Dell's laptops were exploding... but they are not alone. Gateway apparently has been on fire! Can you believe it... the underdog for many many many years has all eyes on them. It's stock is on a high rise. Just recently, a hedge fund purchased 10% of Gateway's stock, and also hired Firebrand Partners, which helps motivate shareholders into buying more stock. Lap Shun Hui, former banker of eMachines, jumps into the fire as well. Word on the street is that he is prepared to lend Gateway $450 million for their retail operations and just may buy out the whole company. Being that eMachines was sold to Gateway in the past, Shun has some experience and understanding of Gateway as a brand and corporation. I have always downgraded Gateway... back when the stock was only $3 ... when they just disappeared from the spotlight in the early 90's (the worst time to be non-popular in the PC industry)... but besides all of that, I always knew that one day Gateway will come back. The company is obviously under some poor management, and customers always complain that they have basically NO customer service (look at the photo attached guys) what kind of an ad is that? You don't bash your company while trying to promote your company all at ounce. They may or may not have a chance now.. being that Dell is now out and HP has taken the oppurtunity to regain the crown. Gateway had a chance their... but instead laid back and lent their potential college focus (consumers) to competition. Do you think Gateway has a chance? Please, blab on and leave a COMMENT people. take care.
Wednesday, August 23, 2006
All Eyes on Gateway...It's On Fire!
I myself am confused with the whole PC business at this point in the game. Recently, I posted that Dell's laptops were exploding... but they are not alone. Gateway apparently has been on fire! Can you believe it... the underdog for many many many years has all eyes on them. It's stock is on a high rise. Just recently, a hedge fund purchased 10% of Gateway's stock, and also hired Firebrand Partners, which helps motivate shareholders into buying more stock. Lap Shun Hui, former banker of eMachines, jumps into the fire as well. Word on the street is that he is prepared to lend Gateway $450 million for their retail operations and just may buy out the whole company. Being that eMachines was sold to Gateway in the past, Shun has some experience and understanding of Gateway as a brand and corporation. I have always downgraded Gateway... back when the stock was only $3 ... when they just disappeared from the spotlight in the early 90's (the worst time to be non-popular in the PC industry)... but besides all of that, I always knew that one day Gateway will come back. The company is obviously under some poor management, and customers always complain that they have basically NO customer service (look at the photo attached guys) what kind of an ad is that? You don't bash your company while trying to promote your company all at ounce. They may or may not have a chance now.. being that Dell is now out and HP has taken the oppurtunity to regain the crown. Gateway had a chance their... but instead laid back and lent their potential college focus (consumers) to competition. Do you think Gateway has a chance? Please, blab on and leave a COMMENT people. take care.
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This one is a toss up to me.
ReplyDeleteGateway had a great brand in the late 90's and it seems they've squandered the mojo. It's also complicated by the fact that the PC market as a whole is pretty slow.
On the other hand, they are in a great position to make a comeback. I vaguely recall reading they have a nice cash hoard. It wouldn't take much to re-establish the brand. Maybe all they need is fresh management and a great marketing campaign...Hmm, wish I had the cash and I would consider it....