Companies like HP, Dell, and other Desktop computer manufacturers should be concerned and disheartened with Androids entrance into the PC market. Android is seeking to appeal to the same customer base that has made the previously mentioned companies established. Without an increase in customers, competition will increase and companies will ultimately recieve less profits.
Android based desktop computers do not, and will not, pose a threat to PC desktop market due to a lack of support for high-end applications, such as the Microsoft Office Suite ir the Adobe Photoshop products. With the cost of Windows based computers under pressure worldwide they would almost have to be giving Android based computer away to pose a threat to Windows based computers.
Yes, some people will go from a PC system to an android system just because they don't need the power, but far more people will need the functionality of a PC and a full operating system. I wouldn't want to operate on Android all day long. I'm not a fan of the application based operating system for actually work.
Although there is a place for Android desktops to have a place in the market, the PC is here to stay for a long time to come. At the end of the day, people like to have the solidity of a PC. Millions are still sold all around the world. There is room in the market for both types of technology.