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Digital to hit No. 2 without retail PCs

Digital to hit No. 2 without retail PCs

Ralph Stadus, general manager of Digital's PC business unit in Australia, says his company will hit the number two spot in the Australian PC market by the end of 1997. Better than that, because the company won't be selling any retail or consumer PCs, it will come second overall by being first in the business PC market.

Stadus says the company has around 350 PC resellers at the moment, and could lift this to between four and five hundred. The improvement in market share will be earned by being more attentive to market needs, by building to order rather than filling the channel, by increasing investment in local manufacturing and, of course, by improving the "already strong channel relationships".

Digital in the US has undergone a period of serious losses in PCs, and Stadus said this was largely due to a bad decision to move into retail PCs. "They designed them, geared up the channel, advertised heavily, but in the end who could compete with the commodity end of the home-user market?" He added that the decision not to sell these Starion PCs in Australia had turned out to be most fortuitous.

Windows NT plays a large part in the current Digital lineup, with NT 4.0 being offered on the desktop machines. Stadus said he expects it to be the dominant platform for Digital customers for the next few years. He added that because NT is hardware independent, we'll see it being used more to bring the Macintosh machines into the corporate fold.


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