Of course increased competition made it difficult for Acorn, but the heaviest blow was probably losing the education market when the government told schools to stop buying all this British nonsense, and get them there Yankee PeeCees :-(
lol, i recently found out that my college used to have Acorns, this doesn't surprise me, but they seemed to have quite a considerable number of them and all Econet networked up too, looking around the IT rooms I was amazed at the number of 5-pin DIN sockets, one for where each PC is. I'm trying to make friends with the techs and get my hands on some of the old acorns if they're still about since I collect them and older macs. :)
Dan
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