Date:06/05/2004 URL: http://www.thehindubusinessline.com/2004/05/06/stories/2004050601510700.htm

Back Samsung eyes PC market with turbo upgrade offer

Our Bureau

Hyderabad , May 5

SAMSUNG India Electronics Ltd, a major player in the PC hardware market with revenues of Rs 1,400 crore from the IT business, has zeroed in on the `PC upgrade' segment by launching an innovative programme that covers a range of parts, including monitors, hard disk drives (HDD), CD writers and printers.

The overall established PC user base in the country is estimated at about 12.5 million, of which over 5 million would be more than three years old. Several of these could need upgradation in view of the new features and convergence technologies.

The Vice-President of IT Product Sales, Samsung India, Mr Vivek Prakash, announced the national launch of the Turbo Upgrade offer that covers colour monitors, HDD and CD writers, as also the Samsung Smart Exchange offer for printers.

So how about an upgrade of the processor? Said Mr Prakash: "We have trained an army of about 1,000 systems integrators out of 7,300 across the country in 24 locations. These integrators would work with the channel partners and also help them upgrade the systems. Alongside this, we are in parleys with our strategic partners, such as Intel, to possibly offer this as a bundle."

The growing and fast changing PC usage in the country offers an exciting opportunity for the company to tap by way of latest technology offerings. Most of the older PCs have smaller monitors, lower capacity hard disks with 10 GB and 48X CD-ROM drives. Since these are not the components for an ideal multimedia PC experience, there is a definite consumer need for upgrading the PC to the latest technologies available, including the 17-inch monitor, 40-GB hard-disk drive, three-in-one combo drive, he told newspersons.

As part of the turbo upgrade, Samsung offers this upgrade for Rs 11,999 covering the 17-inch monitor, 80-GB HDD and CDRW.

Alternatively, a consumer can opt for a 17-inch PC monitor, CDRW, 80-GB HDD for Rs 9,499.

A cost analysis reflects that the consumers are able to avail themselves of discounts up to 40 per cent on the normal market prices of components.

With the recent announcements of sops to the hardware sector, the prices have come down and the industry expects this year to register about 30 per cent growth.

Across user segments, both home users and corporates, the PC penetration is set to grow. Samsung with its range of products and solutions including the PC TV combination offer, expects to increase its market share further, Mr Prakash said.