PC makers warned to cut prices

Fear of a computer sales slowdown, real or not, may translate into lower prices before Christmas this year. An analyst for Gartner Dataquest is warning US computer makers that the only way to deal with reduced consumer demand for PCs is to significantly cut prices before holiday spending begins. The prospect of large, unsold inventories of PCs in the pipeline, followed closely by higher-performance machines due next year, has already led Gateway Inc. to increase efforts to clear out current inventories.

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