101 Data Solutions

IT Hardware Pricing Affected by Financial Turmoil

The current turmoil in the financial markets, combined with the effects of raw material cost increases which started earlier in the year are now feeding into IT products pricing.

The recent drop in value of the pound against the US dollar has resulted in 10% being added to the price of consumables, hard disks, software and some communications products.

Many IT products are manufactured in the Far East and, as much as we are seeing increases in the cost of living, they are seeing the same problems. In addition, the increases in raw material cost such as steel, aluminium, copper and plastic are not helping.  The final factor is the rise in the cost of transporting goods from the Far East.  These costs have increased dramatically in recent months.

In the past we could almost guarantee that the cost of IT products reduced over time.  The result of the current turmoil in the financial markets, shortage of credit, and increased raw material costs is going to outweigh the ability of manufacturers to feed through lower prices of finished IT products.  Some prices have increased already.  The next few months are going to see a very different set of market conditions, one where prices will vary in ways we have not seen in the IT market for many years.

We always look at ways of achieving more with less, true to our word 101 Data Solutions will work with our customers to ensure minimal impact of price increases and propose solutions that can be both cost and technically effective.

As 2009 approaches we are ready to face the new year with confidence in our ability to provide you the customer with proven solutions at a price that fits.

Contact us for further information or call +44 (0) 1761 437203