Coronavirus Technology Fallout

You may not yet have noticed, but supplies of many technology items are drying up and it’s related to the Coronavirus in China. Here’s what’s happening and what you should do.

For many technology items like notebook and desktop computers, China is the world’s primary source producing most – or all – of some vendor’s products. But the Chinese governments response to the virus outbreak is, at least in part, to tell all its citizens to stay home in an effort to break the infection cycle. So not only does this mean that factories are idled, but some of our clients that operate in China have reported that finished goods are sitting in warehouse as shipping has also ground to a halt.

So what should your business do? If you know that you will need new computer hardware in 2020, our recommendation is to get it now – if you still can. We’ve already seen the channel dry up for some items like sought-after notebook PCs: if you want a business-class notebook with 1080p resolution and an SSD, those are largely gone. Less desirable, lower resolution notebooks with mechanical hard drives are still available but no one wants those.

And of course this means that you can expect prices to jump on a lot of tech products.