Eee PC shipments "fail expectations" for first half of 08
by Thomas Ricker 
posted Jul 10th 2008 at 1:51AM
Welcome back to reality ASUS. The Taiwanese giant just announced that it shipped 1.7 million Eee PCs in the "first half of 2008," 300,000 less than had been forecasted. Of course, this could be explained in any number of ways including a downturn in the global economy and those consumers who skipped past the Eee PC 900 in favor of the Atom-based Eee PC 901. With Atom processors in short supply and ASUS diluting the Eee brand as much as they have, well, we wouldn't be surprised to see these failed expectations become the expectation moving forward; especially for companies like Acer who seem to be betting the farm on these new netbook-class mini-laptops.
Filed under: Laptops
Reader Comments (Page 1 of 1)
helloUser @ Jul 10th 2008 2:02AM
Perhaps the competition from MSI and Acer (Wind & Aspire One respectively) and others would contribute to their 'losses' ??
ShadowKain @ Jul 10th 2008 8:37AM
No, this is primarily because ASUS is bleeding the Eee name dry and overusing, and over re-designing their product. Eee monitor / tv, multiple Eee versions in such a short time, short supply of ATOM procs...all contribute to ASUS struggling here. I sure hope they come back to reality here...
Seth @ Jul 10th 2008 11:17AM
The $399 price point was really the Jenga block they pulled out of this product.
andres @ Jul 10th 2008 2:04AM
maybe if they didnt have 3000 different ones customers could choose and buy one.
Billy @ Jul 10th 2008 3:30AM
They really do need to relax the number of models they keep releasing. A few different models is all they need. I am interested in this product for traveling, but they keep messing with the specs and it throws me off.
Metkis @ Jul 10th 2008 1:04PM
Exactly what I'm thinking, +
Touchscreen Sucks @ Jul 10th 2008 2:07AM
For Atom processor to even matter in a buying decision, customers need to know the difference. I'm willing to bet that the average consumer does not know or care about the different processors - they just want good and cheap. "Atom"? That's a term that only matters to us geeks.
I think it's more a matter of availability and brand dilution. As you mentioned, consumers can get confused with Asus' amount of different flavors. Also, if my area (Phoenix metro) is any indication, the Eee PC isn't displayed and pushed much at all. Why is this thing not in front of every electronics consumer at Best Buy or Fry's Electronics? Here you have to ask for it and even then chances are it's not available. By the time I get home to buy it online I talked myself out of buying one...
Juaquin @ Jul 10th 2008 2:09AM
Not only do they have too many models, they keep diluting the idea of the a cheap basic PC by putting in things you don't need (XP, mobile broadband, etc) and charging more and more. I would kill for a 12GB 8.9" screen with no bezel and an atom processor (and no extra junk) for $400-450. Asus has a bad case of feature-creep.
k2001 @ Jul 10th 2008 2:18AM
http://www.newegg.com/Product/Product.aspx?Item=N82E16834220362
OneLove @ Jul 10th 2008 12:17PM
Its funny how newegg has it labeled simply "Intel processor" or "Intel Mobile CPU". All of a sudden they cant tell you exactly what type of CPU it is. Sneaky.
Juaquin @ Jul 14th 2008 9:55PM
k2001: That's not the Atom processor. The 901 is Atom.
k2001 @ Jul 10th 2008 2:18AM
nevermind it does not have a atom processor
Justin @ Jul 10th 2008 2:23AM
Asus doesn't understand value. Shitty hardware on a 2" smaller screen doesn't make a 10" laptop with an Atom processor more valuable than a Vostro 1000 from Dell $400.
Timmy.
Alexkass @ Jul 10th 2008 2:27AM
too expensive for so min-level specs. where is the $300 limit that asus promised last year?
whatever @ Jul 10th 2008 3:06AM
it's dead
Ninjakamster (PS360 FTW!) @ Jul 10th 2008 2:30AM
What the hell does Asus expect when the 1000H model's MSRP is $700 when the very comparable Wind is $400 to $550 for example?
iH8Engadget @ Jul 10th 2008 2:42AM
who cares
Adz @ Jul 10th 2008 2:51AM
The battery shortage that seems to have delayed the models is probably a factor in this issue.
Delays on releasing the 901, and then further delays on the Linux version have made this very frustrating.
Pedro @ Jul 10th 2008 2:52AM
Totally agreed: Dilution is killing them. I was so ready to pull trigger on an eee PC... but then there were all these different ones popping up and tons of buzz on "soon-to-be-released" models, that I've totally cooled down and am not buying one now. Not to troll (I promise!) but I think that Apple has the right idea with a very tight, simplified line. For folks who want more options, it would be nice to at least have 2-4 base models and then be able to play with the options on those (i.e., the processor could be an optional upgrade, the OS, etc.).
Please Asus--hear my plea! KISS (Keep It Simple Stupid)!
kwen25 @ Jul 10th 2008 1:04PM
I'm in the same situation. I had pretty much decided on the 901, and was waiting for it to come out, and then they go and release the 900 16G. Now I'm back to trying to decide and/or wait to see what else comes along.
benmully @ Jul 10th 2008 5:18AM
I been waiting on the 901, as buying the 900 now is just pointless. Even though the 901 is supposed to be out, its impossible to find. I've had a pre-order at 3 large laptop specialists who are supposed official dealers since mid-may, and still nothing has arrived! So don't complain about is ASUS if you can't sort your product out or get them to market!
kwen25 @ Jul 10th 2008 1:07PM
White:
http://www.newegg.com/Product/Product.aspx?Item=N82E16834220354
Black:
http://www.newegg.com/Product/Product.aspx?Item=N82E16834220355
Both are in stock (as of this writing).
benjasmine @ Jul 10th 2008 5:33AM
ASUS pushes the EEE brand too hard...and they have ruined it...
JJ @ Jul 10th 2008 5:38AM
This, Asus, is because you CAN'T FUCKING GET THEM ANYWHERE.
The 701 was pulled/sold out and the 900 and 901 had endless delays in most shops.
and they're now too expensive
LondonConsultant @ Jul 10th 2008 6:02AM
The Eee PC was such a great brand a couple of months ago - and it's consumer goodwill at the time was something that manufacturers would give their hind teeth for. The mess that Asus has made in the past month is stunning and could even make a good business case study. The "business crimes" in just one month range from brand dilution to marketing failure (both confusing and alienating consumers) to supply chain breakdown.
Alan Sugar (or Donald Trump) should gather Asus' Eee management in the boardroom and... "I've decided to fire the whole fucking lot of you".
bolezhinkov @ Jul 10th 2008 9:56AM
"when do we get the new fancy computers"
"when you get your new fancy jobs" - george senior as he slams the door of the truck he has his employees move their office gear into as a last act before mass firing.
Schfelzerberg @ Jul 10th 2008 6:59AM
How the hell am I supposed to buy a netbook if they a new model comes up every week?! When the EEE 701 first came out, I wanted to get one. Then news came up shortly of a newer EEE with a 9" screen. Then, just when I was supposed to get the EEE 900, there came the MSI Wind, and then the EEE 901, then the Aspire One, and so on. It's frustrating! How the hell am I supposed to actually buy one if I can't choose what to buy?
ShadowKain @ Jul 10th 2008 8:39AM
Exactly, exhausting isn't it? This is exactly why ASUS is having a hard time, in combination with a few other things...
Totoriko @ Jul 10th 2008 8:42AM
Screw UK customers with crap batteries and charging them more?
I tell you what Asus, don't bother releasing your crap in the UK anymore as you sure have lost a lot of supporters.
Your replacement battery scheme, what a joke!
BdgBill @ Jul 10th 2008 8:44AM
I was excited about the original eee but wanted to wait for the bigger screen.
I read 4 or 5 tech blogs daily as well as most of the major computer magazines and I'm as confused as hell.
I'm seeing prices of $699.00 floating around and no longer have any idea what the specs of this thing are. Also, I have yet to actually see an eee in any store.
I just wanted a tiny, cheap laptop for Starbucks browsing and quick emai checks at the airport. I'm not paying $700.00 for that.
DarwinzCousin @ Jul 10th 2008 9:09AM
Disagree with all the "Brand Dilution" theories. Establishing a brand is hard, and there is little magic involved - it's all product placement and distribution channels. Chevy isn't facing problems because they have a Cobalt AND a 'Vette AND a pickup truck that all say Chevrolet on them - it's because they have too much product that people don't want, and can't produce/distribute the ones that people do want to buy. Establishing EEE with multiple products that all support a common theme/market niche (low cost/small and efficient) is brilliant and they are doing exactly the right thing for long term survival of the brand. Multiple products will get Asus onto the prime shopper real estate at Best Buy, not keep them from it.
ekwmin @ Jul 10th 2008 12:22PM
Branding is not that simple, if it was then everyone would be making hit after hit. From my experience the biggest downfall of branding is the companies attitude or illusion that branding is just a name, logo, design, and marketing. They fail to see that branding is a total package starting from within the company to the product to marketing, every transaction point and customer service. Most of the time they will either loose focus or they never had the transparency from the beginning because the brand was a lie to begin with. The brand should always start from the core of the company, from how they do things, to how they treat their customers, all the way to the product and marketing. But most companies refuse to change and rather place a brand as a fake persona hoping that consumer will never see through it, but they almost always do.
tanooki2003 @ Jul 10th 2008 9:48AM
I think I will move towards the MSI Wind instead.
tiuk @ Jul 10th 2008 10:40AM
Good. Asus got cocky and lost sight of the purpose of the Eee. It costs too much for what you get, and the competition is selling better products for less. Maybe they'll learn their lesson instead.
James @ Jul 10th 2008 11:23AM
I think people are being a little hard on the ASUS guys.
Sure they've made a couple of questionable decisions (mostly relating to the 900 existing at all) but they have created an entirely new market area, made Linux on laptops a viable option, and done it for a fraction of the price of anyone else's pre-existing UMPCs.
I personally think they weren't expecting the demand of the 700 series, which hurt them a little, and then 900 was rushed out when other players started to appear in the niche they'd just created. If they'd stuck to their guns about an 8.9" Atom machine and skipped over the 900, they would have saved themselves loads of effort.
I've got a 901 on pre-order, hopefully arriving Wednesday (in the UK). It's still precisely the computer I want, at a price I'm willing to pay, and none of the others can match it for my needs.
The thing is, ASUS has done nothing but try to meet the demands of its potential customers:
Bigger screen? check.
Bigger storage? check.
Windows option? check.
Better touchpad? check.
Bigger keyboard? check/coming soon (1000/904-5).
If they'd just ignored everyone, I wonder if there'd be more or less hating going on.
kwen25 @ Jul 10th 2008 1:07PM
White:
http://www.newegg.com/Product/Product.aspx?Item=N82E16834220354
Black:
http://www.newegg.com/Product/Product.aspx?Item=N82E16834220355
Both are in stock (as of this writing).
kwen25 @ Jul 10th 2008 1:10PM
Ignore this duplicate parent comment. I really hate how relatively primitive engadget's comment system is.
cdade @ Jul 10th 2008 4:31PM
I don't see what all the fuss is about brand creep. Since when did having too many choices become a problem? I've got an order in for a 901. It hit all the things I was waiting for - better battery life, bigger screen, bit more storage, bluetooth. if they keep adding stuff fine, i don't care. the 901 has what i need at a decent price. I looked at the 1000 and 900, took about 30 seconds to compare and decide. Now if they can't deliver on what they're promising or get enough units to market, that's a problem. The 901 is supposed to be out mid-July; let's see.