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Osborne Effect

The term used to describe a negative outcome from a company prematurely releasing information about future products and impacting sales of their current products. The Osborne Effect is normally seen when the company misjudges the timing for announcing the future products.

The phrase "Osborne Effect" is derived from the late 80's when a company called Osborne Computer Corp. introduced the first popular portable computer. Osborne made the mistake of pre-announcing a successor machine months before it could be delivered and sales of its existing line dried up sending the company into a tailspin it never recovered from.

See also "Google laughs off the Osborne Effect" on InternetNews.com Blogs.

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