Compaq & Open Co-branded Software Store

Leading computer manufacturer Compaq (NYSE: CPQ) expanded its e-commerce presence today with the launch of an online software store for small businesses. The store, which can be accessed via, is a co-branded project that is operated by software retailer (Nasdaq: BYND).

The store includes more than 5,000 software titles that can be bought and downloaded.

“A major advantage of our site is that Compaq customers now have the choice and convenience of digitally downloading software while also purchasing hardware, options and services directly from Compaq,” said Kenny Kurtzman, vice-president and general manager of Gains Awareness

The new site also gives access to Compaq customers, who are now just a click away from’s library of approximately 44,000 products.

“There are more than five million small businesses in the U.S. with PCs, each spending an average of $2,000 [US$] per year for software,” said Mark Breier, president and chief executive officer of

This is just the latest move that should boost market share for, which completed its acquisition of last week.

Compaq’s E-commerce Strategy

Compaq is currently reevaluating its e-commerce strategy. On February 15, the company stopped selling its computers to Internet-only retailers, including Compaq-owned Compaq said it would review this policy after 90 days.

But Compaq is also supplying Free-PC with the 10,000 computers the idealab! company is giving to consumers who are willing to view advertising in exchange for a free computer.

Meanwhile, Compaq is also facing pressure from Dell Computers.

Dell has recently has ramped up its e-commerce presence by launching the Gigabuys superstore, signing a co-branding agreement with, and starting an affiliate program.

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