Comment: The fall and rapid rise of PC firms

 

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By Barry Collins, PC Pro News & Features Editor

Posted on 23 Mar 2007 at 10:11

It isn't the first time a well-known PC company has risen from the ashes. Back in 2002, Time Computers bought the assets of its chief rival Tiny and carried on selling the brand until it too hit the rocks in 2005. Time UK is now in the hands of a company called Digital World Group, which continues to sell PCs. Another British PC maker, Panrix, went into administration in 2001, before its then owner bought the 'assets' of the company and set up once more, before going into liquidation again just a year later. Remarkably, the company resurfaced once more, although the last time we heard from its owner he was locked out of his premises.

Who are the real losers in such situations? It isn't the company directors, who are protected by limited liability. It's the PC buyers who see their warranties go up in smoke, the customers whose orders never arrive, the companies that supply components to these PC makers. It certainly isn't easy for a small PC maker to survive in the face of competition from multinational giants such as Dell, HP and Sony - indeed, Watford did remarkably well to survive for 30 years. But should the law make it so easy for companies to handpick the bits of defunct businesses they want to keep and disregard the awkward bits, like honouring past customer warranties?