Hardware makers lose out on Windows 7

The Wall Street Journal is reporting that while Windows 7 operating system has fattened the company's earnings and boosted personal-computer sales at retailers like Best Buy. But it hasn't increased the profits of PC giants Hewlett-Packard and Dell.

Consumers purchased more than 90 million new PCs during the holiday quarter, when Microsoft released Windows 7, up 22% from a year earlier, PC revenue grew at just a single-digit rate, the Journal reports. Laptop prices posted a record year-over-year drop, falling 23 per cent to an average of $581 last quarter from a year ago.

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