Computer Peripheral Equipment Manufacturing Industry Profile

The computer peripheral equipment manufacturing industry in the US includes about 650 companies with combined annual revenue of about $9 billion. Major companies include Lexmark (printers), Logitech (based in Switzerland, producer of keyboards, mice, and peripherals), and divisions of larger manufacturers such as NCR and Diebold (point of sale equipment and ATMs). Peripheral equipment is also produced by large computer and electronics manufacturers such as Apple, Hewlett-Packard, and Dell. The industry is highly concentrated: the top 50 companies account for about 80 percent of revenue.

The industry includes freestanding equipment such as ATMs and biometric devices, as well as ancillary equipment typically connected to computers such as keyboards, monitors, printers, mice, and webcams. Some small electronic devices, such as digital cameras, are also included. The industry does not include circuit boards, computer terminals, network communication equipment, external audio devices for computers (speakers or headphones), or computer storage devices. These products are discussed in the profiles for Electronic Components and Semiconductors Manufacture, Computer Manufacture, Computer Networking Equipment Manufacturing, and Audio and Video Equipment Manufacturing.

COMPETITIVE LANDSCAPE

Demand is driven by consumer and government spending, as well as capital spending by businesses. The profitability of individual companies depends on technological innovation, anticipating customer requirements, and delivering consistent product quality. Large companies compete by staffing large, international direct sales forces, and their ability to form strategic alliances with large original equipment manufacturers (OEMs) and major distributors. ...