Vision - May/June 2008 - (Page 7)

Source: CEA Market Research there could be a larger effect for the technology sector. Businesses—namely small businesses—also were offered incentives to make capital investments in 2008. With the temporary bonus depreciation offered to businesses, companies will be able to depreciate 60 percent of qualifying new computer hardware in the first year as opposed to the usual 20 percent. For software purchases, businesses will be able to depreciate two-thirds of qualifying software expenses as opposed to the usual one-third in the first year. These incentives surely will encourage businesses to consider bringing future purchases forward or to even make new, unplanned purchases in 2008. As the economy continues to work through an uncertain environment and look for a more stable footing heading into the second half of 2008, these rebate checks at a minimum will move some consumers into stores. Roughly one in five households indicate they will spend some of the money they receive from the 2008 tax rebate on consumer technologies like computers, televisions and mobile phones. While the full impact will only be clear once the dust settles, CEA expects about $5 billion from the planned $112 billion distribution to directly impact the CE sector. • www.ce.org May/June 2008 7 http://www.digitaldowntown-nyc.com http://www.digitaldowntown-nyc.com http://www.ce.org

Table of Contents Feed for the Digital Edition of Vision - May/June 2008

Vision - May/June 2008 Contents Shapiro's Spectrum In This Issue The Economist C4 Trends Visionary Making the Smartphone Truly Intelligent Shipping Strategies for CE Companies IP in BRIC Countries CEA Newsline Tech Speak Eye on Business Tech Policy Market Insider Just the Stats

Vision - May/June 2008

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