AST Research to Add Low-Cost Notebook to Portable Computer Line

Filling out its product line in the portable computer market, AST Research Inc. on Monday said that it will introduce a low-cost notebook computer to compete with industry rivals on price.

The AST Power Exec EL notebook computer, a black-and-white machine small enough to fit in a briefcase, will sell for prices beginning at $1,745, which makes it competitive with products introduced by Dell Computer Corp. in Austin, Tex., and Compaq Computer Corp. in Houston.

The notebook computer weighs 5.9 pounds and is part of the same family of computers (starting at $2,395) that AST released on Sept. 21. Initial production begins this week and volume shipping will start next month, the company said.

AST also brought out color versions (starting at $3,595) of the notebook family in November.

Dan Sheppard, director of portable systems marketing for the company, said the new notebook is for people who use portable computers at home or while traveling on business. The more expensive models are aimed at the mobile professionals such as salespeople who require the best features and fastest processors, he said.

Analysts say the notebooks are the beginning of a new product cycle at AST that could drive its revenue forward during an intense price war. The company says that demand is at an all-time high and that it has added a third shift at its manufacturing plant in Fountain Valley.

“This machine is another reason for expanding,” Sheppard said.

AST’s first line of computers, released in the winter of 1990, scored big. The company captured about 6.5% of the $2.3-billion notebook computer market in 1991. Notebook computers accounted for 24% of the company’s $944.1 million in revenue for the fiscal year ended June 30.