Compaq Confirms Halt in Sales to Internet-Only Retailers
Compaq Computer Corp. has confirmed that it will stop sales of personal computers to Internet-only retailers, apparently because it wants to stress its own online sales. Compaq is the world’s largest supplier of PCs to both consumers and businesses.
Leslie Adams, Compaq’s U.S. director of consumer marketing, told Reuters that the company has requested that distributors Ingram Micro Inc. and Tech Data Corp. suspend shipments of its Presario line to the online retailers, at least temporarily, for a 90-day evaluation period beginning Feb. 15. She said the suspension affected “less than ten” companies, including Value America, Cyberian Outpost and Buy.com.
Adams said Compaq took the action in response to the growing number of requests to sell its products via the Internet, by both online retailers and traditional retailers who are opening online outlets.
Compaq is strengthening its efforts to sell PCs direct to consumers on its Web site, where it rings up about $1 million a day in sales. Currently, Compaq outsources much of its direct efforts to an online computer seller, Insight. Compaq has also agreed to buy Shopping.com, an online retailer, and merge into its AltaVista Internet commerce unit.
The development was first reported by Computer Retail Week, a trade magazine.
