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A price war has bitten into profits of laptop makers this year even though more of the computers were sold on the Chinese market, according to a report by the China Center for Information Industry Development (CCID).

Laptop makers battled between offering price breaks to consumers in order to maintain sales.

Thought no accurate figures for profits and sales were provided, many new laptop models sold for about 6000 yuan (some US$750) down from prices last year.

Lenovo 150 C laptop dropped to 5,999 yuan in the first half this year and even the PC leader Dell offered products at 5,999 yuan (some US$750) and 6,999 yuan (US$875) in China.

The age of low-priced laptops has arrived, the CCID acknowledged.

Once the technology monopoly was done away with, it said, manufacturers had to choose a low-price strategy to cater for more customers which has led to a drop in profit.

The lowered prices have also meant a 100 percent growth rate since 2004, said CCID.

(Xinhua News Agency December 24, 2005)