Both Acer and ASUS are said to have changed strategy for next year, Both will limit the number of models says sources at ODM partners. The idea behind this is to lower development costs and with fewer models it will be easier to clear out surplus stock.
Both ASUS and Acer often run into problems with large stock of older models, that it is forced to sell off at low prices as the hardware becomes old. This is a drawback of hacing many notebook models, since they have to predict how many it will sell. This is what has forced Acer into the red over the last few quarters, since it is trying to clear out stock of older models in Europe.
According to ODM partners both ASUS and Acer will narrow its assortment of models in 2012. The idea is to have fewer models where it can shuffle around stock mor easily and efficiently and lower development costs. ASUS currently has 50 models to offer, and before 2012 it will lower the number of netbooks from over 10 to at most 5, but also the regular notebooks will be cut down.
Too many products and surplus stock has put Acer in the red the last couple of quarters
The same goes for Acer that will stop shipping models in large volumes, but instead focus on product quality and demand to build up higher margins than before. Acer expects to reduce its assortment by two thirds in 2012. We consider this to be smart moves by both ASUS and Acer. Besides lower development costs for less models, it will be easier to get rid of surplus stock.