Packard Bell

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Packard Bell (PB) was an American radio manufacturer, founded in 1933, in Los Angeles, that later became a defense contractor and manufacturer of other consumer electronics, such as television sets. The company was acquired in 1968 by Teledyne.

In 1986, Beny Alagem and a group of investors bought the Packard Bell name from Teledyne and resurrected it as a manufacturer of low-cost personal computers. The computers, among the first IBM PC compatibles sold in retail consumer electronics chains - such as Sears - soon became popular. However, they also gained a reputation for poor quality, a reputation that worsened in 1995 when it was accused of recycling used parts in PCs that it sold as new. In addition, Packard Bell frequently used motherboards and power supplies in unusual form factors (such as Intel's LPX form factor) that made replacement parts difficult or impossible to come by. Packard Bell also used many components that were heavily integrated, such as Aztech Corporation's sound card/modem that many people had difficulty using when trying to upgrade stand-alone components.

The mid-90s logo
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The mid-90s logo

Packard Bell sometimes benefited from misplaced name recognition, with consumers (especially first-time computer buyers) and even some salespeople erroneously associating the company with others of similar name, such as Hewlett-Packard, Packard, Pacific Bell, and Bell Laboratories.

In 1996 Packard Bell acquired Zenith Data Systems from Groupe Bull in a deal which saw Groupe Bull and NEC taking a larger stake in Packard Bell [3] to create a $4.5 billion company and its 15% market share made it the largest PC manufacturer, in terms of units shipped, in the United States. However, Compaq overtook it in retail sales in mid-1996 and cemented its lead the next year with the release of a $999 PC in March 1997. In the US, price pressure from Compaq and, later, eMachines, along with continued poor showings in consumer satisfaction surveys made it difficult for the company to remain profitable and led to Alagem's departure in 1998.

Packard Bell withdrew from the US market entirely in 2000, although it continues to be a popular brand in Europe as Packard Bell Europe (PBE) and holds third place in terms of consumer sales[1].

They have also entered the MP3 business and produced a popular MP3/WMA player called the 'AudioDream'. In 2004, Packard Bell changed their logo and began manufacturing media products for television and wireless networking.

Packard Bell also sells accessories and has started operating in other continents in addition to Europe, although they have remained outside of the US market since 2000.'

In September 2006 Packard Bell was bought by John Hui, the former owner of eMachines who sold eMachines to Gateway on January 30, 2004.

[edit] Notes and references

  1. ^ Source: Packard Bell company profile, [1]

[edit] External links