Dell’s market share

It’s interesting that Dell is being more innovative (copying Apple’s Mac Mini, iMac and iPhone is as innovative as they get in the PC world) and losing share at the same time. I guess the PC world don’t care as much about design, even at a low price point? Maybe, Dell needs its own retail stores? Or, maybe, Wal-mart* will just buy them out:

Standard & Poor’s IT stock analyst Tom Smith today cut his rating on Dell (DELL) to Hold from Buy, while trimming his target price on the shares to $16, from $17.

Smith notes that while IDC reports that global PC unit shipments rose 15.2% in Q4, Dell in the same period grew just 5.2%. Smith notes that Dell was the only one of the top five vendors to lose market share in unit terms in both Q4 and for all of 2009. Smith writes that he expects Dell to make slow progress in 2010, “despite its ongoing strategic initiatives.”