Dhirendra Tripathi
Investing.com – Newegg Commerce (NASDAQ:NEGG) jumped 90% after being up more than 100% earlier in Wednesday’s session as traders lapped up the company’s latest offering: a $99 service to assemble your purchased computer parts into a desktop.
Until now, Newegg let customers design their PCs. Now it will also assemble them. Newegg is building custom PCs for gamers needing maximum gaming performance.
Higher customization will be offered as the service rolls on.
The announcement caught more people by surprise because it comes at a time when critical computer components like processors, memory chips and graphics cards are in short supply. This has escalated prices of computers and laptops and also caused longer waiting time. A company willing to offer customized PCs is thus bound to raise eyebrows, and in this case, its share price as well.
While many of Newegg’s tech-savvy customers prefer to build their PCs themselves, there’s a large unaddressed market of customers who would rather opt for professional assembly.
Building a PC can be a complicated process with many configuration possibilities.