HP To Quit 10 Inch NetBook Segment?

The iPad is launching tomorrow and a series of new tablet PCs are coming to the market this summer. Will the growing number of tablet PCs lead to the demise of netbook computers?

While it is not clear what effect the launch of tablet devices has has on this, it is now being reported that HP might be quitting the 10″ netbooks segment ¬†owing to reducing profits from these netbooks.

Taiwanases publication Digitimes has reported that HP may quit the 10 inch netbooks segment due to lower profits from Intel Pine Trail-based netbooks. The company is expected to ramp up its focus on AMD-based 11.6-inch notebooks instead.

Quoting a source, DigiTimes writes,

“Most of the second-tier and white-box netbook vendors have already quit the market after first-tier players started cutting their netbook prices in the second half of 2009 to compete for market share.”

[via DigiTimes]