According to Gartner, PC sales are on the decline, and netbook sales on the rise:

Gartner pins a significant part of the shift to netbooks; although they won't prevent an overall PC industy decline, they should account for about 8 percent of shipments during the year and are likely to become more affordable in the year as well. A typical model of one of the mini notebooks with a 8.9-inch display, a 160GB hard drive and Windows XP Home that sells for $450 today should cost about $400 by year's end. Many of these systems continue to sell to users in established areas that are buying a second or third PC, but Gartner also sees price drops contributing to more people in developing-world areas buying netbooks.

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