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IDC and Gartner agree on Steepest PC Decline Yet

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The PC market keeps looking worse-- according to IDC global Q1 2013 PC shipments drop by -13.9% Y-o-Y to 76.3 million units, the worst quarter since IDC started tracking shipments in 1994.

The shipment decline is (obviously!) much worse than the -7.7% Y-o-Y decline previously forecast by IDC. EMEA declines are also worse than than analyst anticipated, reaching the "strong" double-digits within both consumer and commercial markets.

IDC PC Market

"At this point it seems clear that the Windows 8 launch not only failed to provide a positive boost to the PC market, but appears to have slowed the market," IDC remarks. "The costs associated with touch have made PCs a less attractive alternative to dedicated tablets and other competitive devices. Microsoft will have to make some very tough decisions moving forward if it wants to help reinvigorate the PC market."

In other words, Windows 8 effectively turned the PC market into something akin to a Zeppelin crashing towards the earth in slow motion while consumers stick to tablets and smartphones...

The Great Divide: CEO Pay

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James F GoochIt is always interesting to learn how much the leaders of the retail world earn-- such as former RadioShack CEO James F. Gooch (left), who earns a handsome golden parachute worth $3.9 million following his September 2012 departure from the retailer.

The severance payment pushes Gooch's total compensation by 16% despite a -25% lower salary payment, the Wall Street Journal reports.

Gooch left RadioShack after less than year, following a tenure marked by dwindling margins and increasing losses. on February 2013 the 92-year old small-box retailer with the anachronistic name found a new CEO, ex-Walgreens executive VP Joseph Magnacca, who receives a $1m signing bonus on top a $1m salary, 500000 shares of restricted stock and 2.5m stock options.

Netbooks: An Endangered Species

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Immense flocks of passenger pigeon darkened the N. American skies before European settlers blasted the species into extinction by around 1914. Shall we say the same on the netbook, which IHS iSuppli predicts will soon disappear from the shelves of the earth?

"Once a white-hot PC product that sold in the tens of millions of units annually," iSuppli says, "netbook computers are now marking their final days, with the rise of tablets causing their shipments to wind down to virtually zero after next year."

Notebook stats

According to the analyst netbook 2013 shipments will drop by -72% to 3.97 million units (down from 14.13m in 2012 and a 32.14m high in 2010) before falling to just 264000 in 2014 and 0.00 by 2015.

The Next Wearables Contender is...

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The wearables market still be pie in the sky for now, but that is not stopping vendors-- The Wall Street Journal reports Microsoft is also working on "designs for a touch-enabled watch device."

Abacus SPOTAccording to anonymous executives Microsoft is shipping smartwatch components while R&D staff talk designs with suppliers at the company's Redmond, Washington HQ.

Microsoft, perhaps obviously, declines to comment.

The news story makes Microsoft the 5th big vendor to take on wearables-- once the "Apple making a smartwatch" rumours started flying similar stories involving Samsung, Google and LG soon followed.

So far only Samsung confirms its intentions, via Bloomberg interview with mobile business VP Lee Young Hee. Lee says "we've been preparing [a] watch product for so long... We are preparing products for the future, and the watch is definitely one of them.”

In the Game of Retail, You Either Win or You Lose (a job)

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The once king of the retail loses his head-- CNBC reports JC Penney chops "Genius Bar" creator Ron Johnson out after all of 17 months as CEO, following his failure to turn the ailing retailer's fortunes around.

Ron JohnsonWhen you play the game of thrones you either win or you die, the HBO TV series tells us. A maxim that equally applies to the cutthroat world of high stakes retail!

Reportedly Johnson's plans of making an Apple out of JCP (via no-sale strategy, more fashionable merchandise and shop-in-shop investment) failed big time. Hedge fund manager William Ackman, the man behind his recruitment, describes Johnson's decisions as no less than "big mistakes" and "very close to a disaster."

"One of the big mistakes was perhaps too much change too quickly without adequate testing on what the impact would be," Ackman continues. Then again, didn't Johnson promise "a period of true innovation" for the retailer?

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