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  Attacks Could Hurt Sales of Windows XP, PCs
Time: 08:36 EST/13:36 GMT | News Source: Reuters | Posted By: Byron Hinson

Microsoft Corp. MSFT.O distributed its new Windows XP operating system to computer makers three weeks ago, but after last week's devastating air attacks, XP may not provide the boost the technology sector hoped it would, analysts said. Because older computers may not have the processing and memory required to run XP, analysts had expected the launch to spur PC sales.

However, the events of Sept. 11 could force Microsoft to slash its marketing plans for Windows XP, analysts said on Tuesday, and sagging consumer confidence may erase any gains that the launch of the new operating system would have provided to struggling technology firms. "We would expect the launch of Windows XP to be more muted," Credit Suisse First Boston said in a research note analyzing the effects of the attacks on the World Trade Center and the Pentagon.

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