SAN FRANCISCO -- The personal computer -- the old, gray lady of the technology economy -- had to step to the side of the road and let the spry, Internet-driven economy sprint ahead, industry analysts said at a conference Tuesday sponsored by the International Data Corporation.
"The Internet is the new battleground for the PC company," and the PC market is undergoing a wrenching transformation in all areas, declared Bruce Stephens, vice president for personal systems research at IDC.
One of the main problems is that its tried-and-true selling points have become passé, said Stephens.
To adapt, the successful company must create super brands, work toward global reach, and diversify its markets, he said. Compaq, Dell, and Gateway are among the companies practicing what Stephens called a "paradigm change in their business models." They also happen to be among the top-five computer manufacturers in the world.
Kevin Hause, program manager of consumer devices at IDC, identified what he thought were the "hottest technology opportunities," on the horizon.
Net TVs will burst on the scene, he predicted and estimated there would be 69 million of the devices installed in US households by the year 2010.
Another hot area is game consoles. He said 13 million game consoles are expected to ship in the United States this year, making them a ubiquitous conduit for the next wave of technology and a good comprehensive network device.
Finally, Hause pointed to screenphones, generally used as the data center for networked appliances, as a popular commodity. The product outshipped WebTV in 1998. He forecasted there would be 6.1 million screenphones in US households by the year 2002.