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Daily News

Gateway in Brand Revamp
May 12, 2003
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Gateway said it would launch a range of consumer electronics products as part of a new strategy aimed at restoring the struggling U.S. personal computer maker to sustained profitability.

The company, the third-largest PC maker in the U.S., said it aimed to become a so-called "branded integrator" of consumer electronics with its PCs, all wrapped around a package of highly personalised services. Ted Waitt, the company's founder and chief executive, said his second goal for 2003 was to "become profitable and stay that way". Gateway said it would redesign its 192 U.S. retail outlets to make them more inviting and comfortable for consumers.

But analysts questioned whether the company could overcome structural challenges and regain its position as a trusted brand and provider of consumer services. The company said it would unveil a series of new consumer products ranging from LCD and projection televisions to digital imaging gear. The company last year moved to stabilise its business by launching large screen plasma TVs over the holiday season. Gateway also said it would aggressively compete at the low end of the PC market. (Financial Times)

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