Gateway continues to fall apart. Steep drop in fourth-quarter sales, another 15% cut in work force, more store closures. The future looks very dim.

Interestingly, EMachines is hanging in there. I thought they’d be bankrupt by this time. It’s no longer a public company – taken private by a board member last year. But it’s working tight inventory control and cutting risk by limiting its returns, and it might become profitable as a result. Reportedly it’s also poured money into customer support, which was sorely needed.

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