Acer has slipped into the red, which is the first time for the company in a quarter. However, the writing has always been on the wall and this shouldn’t come as much of a surprise as the company has been going through rough weather all of 2011.
Acer had miscalculated customer sway towards tablet PCs and that is what iPad has taken with its launch in the market. Even though Acer was on top of the market at the time with their notebooks, they did not anticipate the lasting effect that tablets would have upon consumers. A statement from their Chairman, JT Wang, states this mindset of Acer in which he said, “customers will ultimately come to their senses and stop buying iPads and start buying netbooks again.”
Apple took the lead in 2011 with their iPad and now Acer is going towards cloud computing solutions as it ventures into the mobile computing market.
Even though Acer has suffered a loss in the second quarter of 2011, the Chairman predicts that they will be able to come back into profit in the third quarter. However, that seems to be at risk of proving to be a miscalculated conclusion, though the Chairman is claiming that sales will still be better than the second quarter. Further, the company has now accepted that they will not be able to break even this year. Acer continues to hold on to the number 2 spot in the world among PC manufacturers, and used to be the undisputed leader of the netbook segment. However, with that being at risk with the advent of the iPad, Acer has taken on several tablet projects based on Android, though none of that has clicked in a major way yet. Acer currently manufactures the Iconia range of tablets and has few more in the pipeline.
In all, the net loss Acer suffered between April and June amounts to $234.3 million or $6.79 billion in New Taiwan dollars. This is significant in the fact that the above figure is more than twice the $3.3 billion in New Taiwan dollars that experts previously thought the losses will amount to.