Price wars will lead to £200 PC says Computacenter

Price wars and continuing consolidation will force the price of PCs down to £200, according to the head of the UK's leading reseller.

Computacenter CEO Mike Norris said the increasing commoditisation of the PC market will force ever more aggressive pricing strategies from the main manufacturers.

"I think we will have a £200 PC but I don't think it will come down much lower than that," he said.

Speaking at the "Annual Chief Executive Briefing" conference in London, Norris added that the small and medium-sized enterprises (SME) and not the large corporate customers are now where the money is.

"There are very few corporate customers who buy the kind of products we sell on a truly global basis," he said.

He attributed the maturing of the SME market to more tech-savvy customers who need less "hand-holding" and the falling price of technology.

Norris said there will be "a bloodbath" among suppliers and resellers in the SME space and that the main competition to Dell in the UK will come from Computacenter and high-street chain Dixon's.