i'm pretty shocked by Acer's recent announcement. this is the first time i've heard a pc manufacturer switch from differentiating on price to product value... an Asian firm too! my ancestors must be rolling in their graves all jesting aside, a 1.5% - 2% operating margin is pretty bad. a slight hiccup in their operating expenses will give them negative cashflow. the only high(er) margin product i can think of in the PC space right now is Lenovo, but they had the advantage of taking over a highly regarded and successful product line from IBM. i wonder how Acer will approach re-branding their company that has largely been known for making cheap laptops.