Canon Inc.Tokyo, Japan (NYSE: CAJ)

Tools:

Buy A ReportBecome A Subscriber

Today's Special Offer

Canon Competition

Now Viewing Canon's competition in: Computer Manufacture

Recent Developments

High Demand Expected for Next-Generation iPhone - Experts predict that Apple's upcoming next-generation iPhone will sell well due to a faster 3G data network that will replace the existing EDGE-based technology. According to a ChangeWave Research poll, 11 percent of consumers planning to buy an iPhone say that they'll wait until 3G compatibility is offered. The speed of AT&T's EDGE network is the top complaint of iPhone owners.

Carbon Nanotubes may Pose Cancer Risk - A study by the Project on Emerging Nanotechnologies concludes that long, thin, fiber-like carbon nanotubes can behave like asbestos fibers and, like asbestos, cause lung cancer. Carbon nanotubes are rolled-up sheets of interlocked carbon atoms that form a strong and lightweight tube that can be used as building blocks for everything from computer chips to sporting goods. The study says that not all nanotubes are hazardous, but adds that it's unknown if products on the market now that contain nanotubes are safe.

Industrial Production, Exports to Emerging Countries Increase - Industrial production of computers and peripherals rose 17.3 percent in April 2008 over April 2007. Hewlett-Packard reported a 16 percent increase in 2008 second quarter profits, citing increased sales in emerging economies as a chief growth driver. In the first three months of 2008, overall US exports of computer equipment fell 4 percent compared to the year before. However, exports to Mexico increased 9 percent; to China, 4.5 percent; to Brazil, 3.7 percent; and to Thailand, 2.1 percent.

Competitive Landscape

Demand is tied to consumer and business income. The profitability of individual computer companies depends on purchasing and production efficiencies, and on technological expertise. Large companies have economies of scale in purchasing and production. Small companies can compete successfully by specializing in certain products or by developing superior technology. The industry is capital-intensive and highly automated: annual revenue per employee is about $500,000.

Computer Manufacture Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US computer manufacturing is forecast to grow at an annual compounded rate of 3.9 percent between 2007 and 2012.

Computer Output Growth Peaks then Stabilizes

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.

First Research Opportunity Rating

The First Research Opportunity Rating is First Research's estimate of industry performance vs. industry risk over the next 12 to 24 months.

  • Demand: Growth mainly in portables
  • Need efficient use of low-cost labor
  • Risk: Slowing economy pushes consumers to low-margin products

Industries Where Canon Competes

  • Computer Hardware
    • Computer Peripherals
      • Printing & Imaging Equipment (primary)
  • Consumer Products Manufacturers
  • Electronics
  • Health Care