Interview, Continued

07:00 - Friday 26 August 2005 by Frank Völkel
Source: Tom's Hardware – Keywords: interview, with, be, quiet

Interview, Continued

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THG: What does the price range for power supply units look like at the moment, and where do you see future sales potential?

Be quiet!: If you take into account the latest survey results from Gartner, 48.9 million PCs were delivered worldwide in the second quarter of 2005. This means a growth rate of 14.8 percent in comparison to the previous year. In the areas of EMEA Europe, the Middle East and Africa the growth rate is even at 18.7 percent. With figures of this kind, it is not easy to answer your question about possible sales potential. On the one hand, there is the mass market for inexpensive power supply units for the average user, who has no interest in the individual details and characteristics of power supply units, and on the other, the up-market or medium price sector, in which we at Be quiet! as well as Revoltec operate.

In the lower price range, and thus on the mass market, there are many suppliers who can always offer cheaper prices than other suppliers. The market is hard-fought and changes very quickly. Here, product improvement and development is impossible.

At Be quiet! and Revoltec, we see ourselves as catering to the middle and up-market segments, since this market still has development potential and we have attained a good position. (Differentiation and individualization are still possible, and we still have a few ideas in mind, and we are working to implement them.)

THG: Many manufacturers are jumping on the power supply unit train at the moment. The reason for this is exorbitantly high margins - we have the figures for this. What do you have to say about that?

Be quiet!: We can't confirm that as such. The market no longer permits exorbitantly high margins in the up-market and medium-priced price ranges for power supply units. More and more suppliers are rushing into the European market, so that the supply is higher than the demand. Sinking prices are the result. On top of that there are other factors, such as the economic development of producing as well as distributing countries, higher development or production costs, increased service and logistic costs (for consulting, replacement services), and, not to be forgotten, high marketing expenses, in order to defend market positions. As a result, we aren't necessarily seeing rising margins, but rather decreasing ones.

THG: Are there efforts to overhaul or technically improve power supply units from Be quiet!?

Be quiet!: Yes, a continual improvement process is underway. At the moment, we are improving the attachment of the transistors, and using vibration dampers. Furthermore, we are striving to improve efficiency values, and to improve ventilation for power supply units. We are also implementing necessary changes in components and elements inside the power supply unit, which are affected by the decree concerning banned substances (the Electro-G decree applicable across the European Union), which will take effect next year. We are already planning to put a new power supply unit on the market at the end of year which meets the criteria of this decree.

The basic principles of the revision are now underway: All the improvements which we are striving for at Be quiet! should be aimed at conserving the built-in components. An example is the backlash controller, which distinguishes the Be quiet! series - and others will follow.


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