exponentially. In late 1995 to early 1996 Microsoft forced boot-up shells off OEM computers by updating its Microsoft Windows distribution agreement (OPK 2) and Packard Bell, without a clear on-shelf differentiator, saw sales begin to decrease. Also in 1995, Compaq sued Packard Bell for not disclosing that Packard Bell computers incorporated used parts. This practice was, in fact, widespread in the computer industry, including Compaq itself. However, unlike its rival companies, Packard Bell was judged not to have advertised the practice sufficiently in its warranties (Compaq, for instance, disclosed it in the warranty statement). NEC partnership (1996–2008) In 1995, Packard Bell acquired Zenith Data Systems from Groupe Bull in a deal which saw Groupe Bull and NEC taking a larger stake in Packard Bell to create a $4.5 billion company. The company then became integrated with NEC Computers. Its 15% market share made it the largest PC manufacturer, in terms of units shipped, in the United States. However, Compaq overtook it in retail sales in mid-1996, and cemented its lead the next year, with the release of a $999 PC in March 1997. Packard Bell posted losses totaling more than $1 billion in 1997 and 1998. In the U.S., price pressure from Compaq and, later, eMachines, along with continued poor showings in consumer satisfaction surveys made it difficult for the company to remain profitable and led to Alagem's departure in 1998. In 1999, NEC began withdrawing the Packard Bell name from the U.S. market, while keeping it in Europe, where the brand was untainted by allegations of substandard quality. Acquisition by Acer (2008–present) In 2008, it was acquired by the Taiwanese consumer electronic firm Acer in the aftermath of its takeover of Gateway, Inc. Gateway products are now sold in the Americas and Asia, while Packard Bell products are sold in Africa, Europe and the Middle East. Relaunch in the U.S. In August 2015, JMM Lee Properties filed for the Packard Bell mark to reintroduce the brand into the United States. Later in January 2018, Southern Telecom purchased the trademark from JMM Lee Properties to relaunch the brand. On October 14, 2016, PBX Holdings acquired the United States Packard Bell trademark and began manufacturing Packard Bell products in 2017. In June 2017, JCPenney revealed that they would begin selling a line of Packard Bell laptops as part of their expansion into the dormitory market. PBX was set to expand the