Winners and losers in printer market
HP move to inkjets may hurt Canon, analyst says
Korea’s
Samsung saw a sharp increase in its share of the laser printer market
last year, while Japanese competitor, Epson, recovered losses in the
inkjet printer market, according to market watchers.
Seiko Epson
pushed its inkjet market share above 20 per cent for the first time in
two years, following an internal restructuring drive, according to a
report published this week by researchers from Japan’s largest
brokerage, Nomura Securities.Generally, growth in sales of all printer
types was weak in the last quarter of 2007, with a decade of rising
sales of color laser printers finally coming to an end, said
Tokyo-based Nomura analyst, Tetsuya Wadaki.
A shift in strategy
at printer giant, HP, may spell trouble for leading laser printing
technology supplier, Canon.“In the fourth quarter, Canon, the sector’s
top company on a printer engine basis, saw continued contraction at its
laser printer business. Hewlett Packard, which has strong links with
Canon, is actively making the shift from laser printers to inkjet
printers, and we think this represents a risk for Canon’s earnings over
the medium term”, said Wadaki. HP and Canon’s sales have also been
impacted by a slowdown in the North American market“We think the shift
to inkjet products has the potential to dramatically change the balance
of power in the office equipment sector”, he added.
HP is
attempting to bring its inkjet technology into other office equipment
markets, such as copiers and print-on-demand systems. However, the
company has so far only managed to establish a toehold of about one per
cent of the North American copier market, according to Nomura.