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Production vs. Consumption:

Computer Sales Explode!

Wherever one turns these days, from Steve Jobs' quotes and Apple releases to Intel's earnings projections, the same headlines leap out: "PC Sales Decline," "Computer Sales Falling," "PC Chip Sales in Tailspin," and so on. If you weren't paying attention, you might think the computer industry had hit a headwind.

The "pundits" have been busy explaining all of this, with guesses ranging from EU problems to Chinese tactics to Asian slowdowns to the so-called "post-PC era." Yes, each of these elephant legs is attached to something, but what about the elephant?

Thanks to a mistake made early on by the Rear View Mirror kids (market research firms good at describing the past: Gartner in particular, followed by Forrester, etc.), the computer industry would appear to be in serious trouble, for any one of the above reasons.

There is only one problem: it isn't so.

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