Leading notebook vendors slash orders with Intel due to weak demand

Leading notebook vendors, including Dell, Hewlett-Packard (HP), Acer and Asustek Computer, reportedly have slashed their orders for CPUs and chipsets already placed with Intel by 30-50% due to an unexpected rise in notebook inventory in the first quarter of this year, according to sources at Taiwan notebook makers. Most vendors were caught off guard by rising inventory levels, as demand for notebooks in the first quarter was much weaker than expected, the sources noted, who added that most vendors had expected strong sales from the beginning of this year amid a continuous expansion in the desktop replacement market.

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