The PC is a big durable goods item now. When the economy is slowing, people tend to reduce their spending on those kinds of things.

People didn't stop spending money, they just spent it on things that complement their PCs.

Of all the toys available, none is better designed than the owner himself. A large multipurpose plaything, its parts can be made to move in almost any direction. It comes completely assembled, and it makes a sound when you jump on it.

Would I buy a cell phone for my 12-year-old? ... No. I should have closer control over my child than that. He really shouldn't be in places where he needs to contact me by cell.

Typically, we see flat or slightly rising prices in December, because people are usually willing to pay more.

If you look at why people are not buying PCs, most of the things I've seen say it's not price, it's the usability, ... Consumers are asking themselves, 'Why do I need to upgrade?' So by reducing prices, I don't know that there is this huge unmet demand that's going to bring in a lot of new purchasers.

Apple has a pretty high bar to jump over.

There need to be compelling reasons to replace your PC. And right now there aren't any.

We haven't really given people a reason why they would want to own one yet.