Hanover, MA…November 21, 2003… -- Worldwide retail revenues from color electrophotographic (EP) hardware, media and chemistry totaled almost $22 billion in 2002 and I. T. Strategies forecasts that in 2007 worldwide color EP revenues will reach almost $42 billion, a CAGR of 14%. Of this, the largest segment is and will continue to be chemistry, with revenues rising from $10.6 billion in 2002 to more than $23 billion in 2007, a CAGR of 17%. The color electrophotographic market can be divided into three broad segments based on type of imaging device: desktop color lasers at the bottom, connected color copiers in the middle and digital presses at the top. The bottom end of the market is dominated by HP, the top end continues to be weak and still trying to break into the declining volume commercial print market. Connected color copiers continue to face competition from desktop color printers at the low end and are becoming competition to digital presses at the high end. According to Marco Boer, Consulting Partner at I. T. Strategies, “At the low end of the market, the drive continues to be to replace monochrome EP devices with inexpensive color laser engines. OEMs continue to drop prices: a number of companies offer 17 ppm – 20 ppm color laser printers for less than $2,000 – a very affordable price point even for “sometime” color usage. When the $500 desktop color laser printer arrives in 2004, it will also start to challenge ink jet printers at that point.” Color copiers represent the largest revenue share of the market with total revenues growing from $13 billion in 2002 to $20 billion in 2007; however, the fastest revenue growth among printer types is desktop color lasers with total revenues growth from $7.9 billion in 2002 to almost $21 billion in 2007, a CAGR of 21%.