“Wayne Inouye, CEO of Gateway since its merger with eMachines two years ago, has resigned as the company focuses on building up its direct sales to consumers and to professional markets,” Dawn Kawamoto reports for CNET News. “Inouye, who became Gateway CEO after the March 2004 acquisition of budget PC maker eMachines, also stepped down as a Gateway director. He will, however, serve as a company adviser during the transition.”
“In the fourth quarter, Gateway reported a mixed financial performance. The company sold nearly 1.36 million PCs during the three-month period, up 13 percent from the year-earlier period. The gains, in part due to its retail performance, made Gateway the second-fastest-growing PC company in the U.S. year over year, according to IDC,” Kawamoto reports. “But revenue from its direct-sales efforts fell 39 percent in the fourth quarter, to $115 million, compared with a year earlier. That was attributed to failed marketing efforts to drive sales and the discontinuance of consumer electronics… the company’s stock has fallen nearly 64 percent since it traded at nearly $7 a share in late 2004. Gateway shares closed at $2.51 in regular trading Wednesday.
Full article here.
Advertisements:
• MacBook Pro. The first Mac notebook built upon Intel Core Duo with iLife ’06, Front Row and built-in iSight. Starting at $1999. Free shipping.
• iMac. Twice as amazing — Intel Core Duo, iLife ’06, Front Row media experience, Apple Remote, built-in iSight. Starting at $1299. Free shipping.
• iMac and MacBook Pro owners: Apple USB Modem. Easily connect to the Internet using dial-up service. Only $49.
• iPod Radio Remote. Listen to FM radio on your iPod and control everything with a convenient wired remote. Just $49.
• iPod. 15,000 songs. 25,000 photos. 150 hours of video. The new iPod. 30GB and 60GB models start at just $299. Free shipping.
• Connect iPod to your television set with the iPod AV Cable. Just $19.
Related MacDailyNews articles:
Beleaguered Gateway on the ropes, Gartner says PC industry due for shakeout – August 23, 2005
Beleaguered Gateway shares plunge on weak outlook – August 16, 2005
Beleaguered Gateway announces ‘iPod Photo killer’ (with image) – October 28, 2004
Beleaguered Gateway launches ‘iMac G5 killer’ – September 21, 2004
Beleaguered Gateway to ditch consumer electronics to focus on PC box assembly – September 13, 2004
Beleaguered Gateway cuts another 1,500 jobs; has cut 22,600 jobs in last four years – April 30, 2004
Beleaguered Gateway grinds up customer and spits him out unsatisfied – April 02, 2004
Beleaguered Gateway closes all retail stores; Apple poised to open 77th outlet – April 01, 2004
Beleaguered Gateway to axe over 2,000 jobs in next few months – March 03, 2004
Beleaguered Gateway to buy eMachines; combo could be 3rd largest Wintel box assembler – January 31, 2004
Beleaguered Gateway cuts more jobs; closes Virginia manufacturing plant – September 03, 2003
Beleaguered Gateway puts on a happy face – December 16, 2002
Beleaguered Gateway desperately circling the drain – September 25, 2002
Next up, Michael Dell
Discontinuance!
I know its a real word – but can we not just say cancellation.
Maybe more cow commercials will help…. NOT.
MW: nearly…. Gateway is nearly finished.
Mooooooooooooooooooo!
Hasta La ‘Vista’ Gateway!
Gateway should bring back a dynamic original co-founder to bring the company new life…
Oh wait, does anyone even know who founded Gateway?
Strange, I thought Inouye has done a great job for Gateway.
The gateway line may be good quality I don’t know.
But the emachines line is junk. If your emachine still runs after 18 months you are a lucky man. And FORGET support. Instant ulcer and no resolution.
Hey MDN, “Beleaguered” is getting old. I was offended when the vultures in the media used it to bruise Apple 9 years ago. It was wrong then, it’s wrong now.
“Gateway should bring back a dynamic original co-founder to bring the company new life…
Oh wait, does anyone even know who founded Gateway?”
Ted Waitt, dynamic original co-founder (really) has been holding the marionette strings the whole time. There has been a short line of CEOs that have followed him in that position since he stepped down in the 90s. I believe he’s been chairman (or some other such title) since.
After hearing Apple so oft referred to as “Beleaguered” I relish hearing it used over and over and over with respect to the commodity turd manufacturers.
Keep it up MDN!!!
It’s not really Inoye’s fault.
It’s Windows that makes Gateway computers the same as any other PC out there. The only thing PC makers can differentiate themselves is by externally dressing up their computers and/or price wars. But it’s the same crap inside.
Gateway sold more PCs last quarter than Apple did. 1,360,000 versus 1,254,000. The interesting thing is that made Gateway the number #3 PC vendor. I would think that the 106,000 PC difference should have put Apple at #4 or at least #5…
I also read in the LA Times that Gateway is looking for a way to do more direct sales. Hey, maybe they should consider opening stores…
” width=”19″ height=”19″ alt=”cheese” style=”border:0;” />
Gateway should have become eMachines. At least eMachines had a reputation of being cheap. Perfect for the lemmings.
This merger may end up taking down two PC manufacturers. Really, this isn’t good news as the next big players in the PC business will likely come from Asian manufacturers. Bad because our money ends up over seas instead of domestically. Also bad because it Dell loses competition. I hate Dell.
I predict Gateway will be acquired by HP, Lenovo, or Dell within 3 years.
Any takers?
Gateway. Desktops as low as $299! (gerbil not included)
I tried to pronounce his name and bit my tongue. That’s the real reason they let him go.
Gateway and Emachines, what a marriage.
Pointless and Junk.
Really, the whole cow thing is (was) so stupid.
And their former store here in St. Louis was soooo gross. Nothing in stock except a few “stripped leader” models, none of the display machines working very well and it was in a very low-rent part of town, gee I wonder why it folded.
Personally I think it’s fine hammering the beleagured PC vendors as BELEAGURED, after all, it’s a Mac forum and we Mac users certainly had to listen to the press pound Apple over the head as beleagured for a hell of a long time.
Beleagured Gateway, I fart in your general direction. You could’a been a contend’a, but now your toast. Buh bye!
Hey tank, what rock have you been living under. Where exactly do you thing Gateway and Emachines parts and pieces come from? Hint (It’s not the US).
These companies are just shadows of their Asian suppliers already and by the way, so is Apple – designed in California, built in China.
Gateway and Emachines = turd ranch.
I’ve been using a Gateway PC for several years and have not had any problems with it. It’s much better than a similarly priced Dell.
I voted for buying a Gateway in my house before I voted against it.
Then Teresa got angry one day and smashed it against my horseface anyway.
Yeah, one cow is cooked. Next meal, Longhorn.
Beef, it’s what’s for supper.
maczealot: But don’t toss out the bell. That’s bad luck.
poop poop poop
i crax u all up i so cool!!!111!
(This has been a parody of MacDailyNews forums. Thank you for tuning in. We apologize for sounding slightly more mature than the actual average forum posting. We have trouble pinning down the demographic.)
“More blood on Apple’s pwoer buttons” …well, not really.
My first computer was a Gateway, back in 1996. We had it for over 6 years, running Windows 98 SE(wow). Never really had any problems with it. Over the course of that time period we also got an eMachines. Biggest POS ever (But maybe it was WinME?). Terrible, that only lasted for about 2 years. Finally, I was given a Mac, and it was never the same, the experience was so much better.
Hey Heidi, you are absolutely correct but it still hurts our economy when the whole kit and kaboodle comes from Asia. At least the American computer companies create some jobs here. Sumo Computer Co. will create none.