Acer reports first ever quarterly loss

One of the biggest PC makers in the world, Taiwan-based Acer, has reported it has recorded the first quarterly loss in the company's history. Reuters reports that Acer had a net loss of $234.3 million for the quarter that ended on June 30. That amount is much bigger than what analysts had predicted. The company's chairman J.T. Wang told investors that the larger loss was due to Acer clearing out excess inventory. It also was due to paying a number of resigning senior executives their severance packages.

Wang warned of hard times ahead for the company, saying that it will be "impossible" for Acer to break even this year. The company has had to deal with sales of its notebooks being affected by the success of Apple's iPad. However, Wang claims that the company believes the current "fever" for tablet PCs will be going down and that more conventional notebooks will regain some of its lost market share.

Acer could be helped if HP decided to either spin-off or sell its PC business, as the company hinted it might do last week. Commenting on HP's current situation, Wang said, "They don't like low margins, low profits; their investors will hold management to do such kinds of things. This kind of trend will not change on Wall Street for maybe the next 10 years." He didn't comment on if Acer might be interested in buying HP's PC division. However he did say that Acer would try to satisfy its customers "including HP's existing customers."

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I must comment , for I have just contacted ACER about a warranty dispute. They wouldn't help me at all... wouldn't let me talk to a supervisor, couldn't understand the people... oh and I had a desktop ..... I had a problem with the hard drive failing .... they would not fix it/ replace it. said it was my fault ....even though I had never opened the case. I finally got a hold of the CEO thru the Better business bearu , and... even the CEO's are jerks.... All the person kept asking was quote " Well what do you want me to do ? " " we can't do anything" And forgot to mention, my warranty was still good at the time. They would not explain why they thought I did something to it. so ACER is crap.... I told the CEO You don't stand behind your products at all then, and eventually more people will find out. here's all the logs:

/02/2011 Receive Business Response August 2, 2011

Better Business Bureau
Austin Office
1005 La Posada
Austin, TX 78752

RE: Case# - -

Thank you for your recent inquiry on behalf of _____. We appreciate the Better Business Bureau's efforts to resolve consumer complaints and to promote communications between businesses and consumers.


A member of Acer America Corporate Customer Care has spoken to X and discussed the request for refund or replacement. X was advised that the last repair was over two years ago. X was also advised in 2009 that her computer was received in our repair depot with liquid spill damages not covered under the limited warranty and required payment to repair. Due to non payment the unit was shipped back unrepaired.X advised that the original computer has since been discarded. Xwas advised that there will be no refund or replacement of her original system.

I hope this letter has satisfactorily addressed the Better Business Bureau's concerns. Thank you again for your inquiry and for providing the opportunity to respond. If you have any additional questions, please don't hesitate to contact me.

Best Regards,

La Sonya
Corporate Customer Care

Here, I will make it simple for you. Acer, Gateway, Packard Bell, MSI, eMachines are pieces of trash I wouldn't even consider if you put a gun to my head. The only reason people some of you are praising them is due to the fact that those are your standards. The truth is that these brands exist for people with limited budgets and that's where is ends. To you they may be great because they're the best thing you can afford. Just because the thing hasn't had any major problems or it's not falling apart doesn't automatically mean it's "wonderful". It's the support, build quality, features, design etc that complete the package. The fact is that these manufacturers do not stand behind their products and for $400 I wouldn't even expect it. Even in the old days when they were manufacturing motherboards for IBM, Acer was garbage. IBM had so many problems with them that they literally had to hire additional support staff to handle all the issues.

Gateway actually had one of my customers run some freaking Registry Optimizer the other day and then declared that because the "optimizer" found a lot of registry errors that they computer was in real trouble. As a 30 computer repair guru, I have never been as stunned as I was that day. I can't WAIT for the Microsoft stores. At least MS tech support are really smart.

OK, I'll say it, who the hell wants to buy ANYTHING from a company who's technical support you can't even understand. It's not the accents that are so bad as the lack of intelligent answers on the other end as well. I used to only buy Gateway computers. Why? Because you got an ENGLISH speaking person when you called for help. How hard is this for companies to understand? The day Acer bought Gateway is the day I stoppped caring what brand of PC people bought. I'm pretty sure my Facebook status that day contained many many curse words as well. These companies are totally clueless, and then they wonder why Apple does so well. Stores, and people you can ()*^&)-ing understand. Why is that so hard for them to understand?

You know, I have an Acer notebook, which I got only a few months ago, and I have not had any major problems with it.

I mean, sure there was the occasional glitch and whatever, but nothing is perfect... This notebook's been just wonderful for me and has handled everything I've thrown at it.

Overall, I'm very satisfied with it and I don't see this as a cheap piece of junk at all...

JaykeBird said,
You know, I have an Acer notebook, which I got only a few months ago, and I have not had any major problems with it.

I mean, sure there was the occasional glitch and whatever, but nothing is perfect... This notebook's been just wonderful for me and has handled everything I've thrown at it.

Overall, I'm very satisfied with it and I don't see this as a cheap piece of junk at all...

Me too!
I currently own 5 Acer laptops (all different models), and have been using Acer laptops for many years now! ...and I'm a HEAVY user, so these get their fair share of abuse i.e. left on 24/7 for days on end, running CPU/Memory intensive apps.. and they've been great! I have no problems with any of them! I've also had Toshiba, Dell, and HP laptops in the past... none of which have been as reliable as my 5 Acers! I personally can't fault Acer laptops for their reliability or price!!

The iPad literally put Acer out of business. RIP Acer. BTW - I never bought a single Acer product in my life. Always thought of their stuff as cheap junk.

KingCrimson said,
The iPad literally put Acer out of business. RIP Acer. BTW - I never bought a single Acer product in my life. Always thought of their stuff as cheap junk.

no it didn't... one bad quarter doesn't equal out of business.

KingCrimson said,
The iPad literally put Acer out of business. RIP Acer. BTW - I never bought a single Acer product in my life. Always thought of their stuff as cheap junk.

PS you are a little bitch! Why do you want businesses to fail?

KingCrimson said,
The iPad literally put Acer out of business. RIP Acer. BTW - I never bought a single Acer product in my life. Always thought of their stuff as cheap junk.

LOL. Someone doesn't understand how business works or what "literally" means.

ahhell said,
"The company has had to deal with sales of its notebooks being affected by the success of Apple's iPad."

Huh?

"huh", what? Notebooks and Netbooks were selling like crazy. Then the iPad came out. Now the iPad is selling like crazy, and Notebook/Netbook sales have dropped.

Acer needs to hurry up and release some amazing tablets.

Xenomorph said,

"huh", what? Notebooks and Netbooks were selling like crazy. Then the iPad came out. Now the iPad is selling like crazy, and Notebook/Netbook sales have dropped.

Acer needs to hurry up and release some amazing tablets.

so far they've released what I think is the crappiest looking of the bunch. but at least it's among the cheapest

Xenomorph said,

Acer needs to hurry up and release some amazing tablets.

Acer isn't exactly the brand that comes to mind when I think of "amazing."

Enron said,

Acer isn't exactly the brand that comes to mind when I think of "amazing."

Agreed.. Acer is a low end brand and it shows in their products.

holori said,

Agreed.. Acer is a low end brand and it shows in their products.

Exactly. Their drop in sales has nothing to do with the iPad. It's because Acer's stuff is garbage.

i think the crappy economy and well, quite frankly, crappy acer hardware is what is hurting them. Acer has absolutely 0 value add.