Wal-Mart removes Linux PC from store shelves

March 12, 2008, 09:16 AM —  IDG News Service — 

Wal-Mart has stopped
selling Everex's Linux-based
PC in its stores because of a tepid response from customers, although it will
continue to sell the product online, the retailer said Tuesday.

The customer response to the US$199 Everex TC2502 Green gPC desktop was not
as high as expected, said Melissa O'Brien, a Wal-Mart spokeswoman..

Wal-Mart, the largest retailer in the U.S., agreed last year to carry the product
as a test and stocked it in about 600 stores where it saw high interest in computers.

"The idea was to see if shoppers in our stores would respond as they do
online to the offering. The answer is that customers did not respond to expectations,
so we decided not to restock," O'Brien said.

"We are America's retailer, so the decisions on what we offer in our stores
is based on how our customers vote with their purchases," she said.

She played down the decision, which has been seen as a setback for Linux on
the desktop. "We did not 'pull' Linux from our shelves or make any kind
of 'announcement' on this," she said.

Wal-Mart has had little success in the past selling low-cost Linux PCs. It
has also offered Linux-based Lindows and Microtel PCs, but the retailer eventually
removed those too from its shelves.

Wal-Mart will continue to sell the Everex
PC
through its Web site, where it is able to sell products that appeal to
"a more targeted consumer," O'Brien said. Wal-Mart also sells Everex's
Linux-based Cloudbook notebook online.

The gPC2 desktop runs on a Via Technologies C7-D processor running at 1.5GHz,
and includes 512M bytes of RAM and an 80G-byte hard drive. It does not include
a monitor.

Everex said the gPC desktops had mostly sold out from Wal-Mart's shelves, with
only a few units left.

"The sell-through was brisk, I am surprised at the decision," said
Paul Kim, director of marketing at Everex.

Wal-Mart's decision to sell Everex notebooks and desktops online should offset
any drop in sales, he said. Everex is also continually adding distributors to
sell its products, he said.

IDG News Service

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