HP chases China's lucrative youth market

Beijing - HP will increase its China budget by some 30% this year in a bid to build its share of the estimated US$135 billion youth electronics market.

HP, the second largest player in China's rapidly expanding personal computer market, said the fourth quarter of 2007 saw its Personal Systems Group more than doubled in growth, making China HP's largest market outside the US.

Late last year, HP launched a "My Computer My Stage" campaign which invited young Chinese consumers to showcase their creative talents.

HP has chosen China as the first market to launch "My Computer My Stage" and plans to increase some 30% of its investment in this market in 2008.

"The youth market will be the fuel that powers the consumer sector and our strategy for profitable growth is based on these trends," Robin Seow, marketing & SMB Director for HP China Personal Systems Group, said.

"China is the first and so far the only country in the world where this global youth campaign is being rolled out, which shows the importance that HP attaches and the commitment it makes to the Chinese market."

HP will this year see added competition in the youth electronics market, with China PC maker Lenovo launching a new line of products called Idea, targeted at a younger set.