Worldwide PC Shipments Dip 2.4% In Q1 2017: Gartner
Worldwide PC shipments totaled 62.2 million units in the first quarter of 2017, a 2.4 percent decline from the first quarter of 2016, according to preliminary results by Gartner, Inc. The first quarter of 2017 was the first time since 2007 that the PC market experienced shipments below 63 million units in a quarter.
The PC industry experienced modest growth in the business PC market, but this was offset by declining consumer demand. Consumers continued to refrain from replacing older PCs, and some consumers have abandoned the PC market altogether. The business segment still sees the PC as an important device, and it’s the main work device for businesses.
“While the consumer market will continue to shrink, maintaining a strong position in the business market will be critical to keep sustainable growth in the PC market. Winners in the business segment will ultimately be the survivors in this shrinking market,” said Mikako Kitagawa, principal analyst at Gartner. “Vendors who do not have a strong presence in the business market will encounter major problems, and they will be forced to exit the PC market in the next five years. However, there will also be specialized niche players with purpose-built PCs, such as gaming PCs and ruggedized laptops.”
“The top three vendors — Lenovo, HP and Dell — will battle for the large-enterprise segment. The market has extremely limited opportunities for vendors below the top three, with the exception of Apple, which has a solid customer base in specific verticals,” Kitagawa added.
The competition among the top three vendors intensified in the first quarter of 2017. Lenovo and HP were in a virtual tie for the top spot. Lenovo accounted for 19.9 percent of worldwide PC shipments, followed by HP with 19.5 percent share, and Dell at 15 percent share. Lenovo’s growth exceeded the regional average in all key regions except the U.S.
HP showed the strongest growth among the top six vendors, as its global PC shipments increased 6.5 percent in the first quarter of 2017. HP’s shipments grew in all regions, and it did especially well in the US market, where it had a 15.9 percent increase in PC shipments.
Dell has achieved four consecutive quarters of year-over-year growth. It had PC shipment increases in all regions except the U.S. Dell enhanced its channel program and expanded its share in the large-enterprise market.
The PC industry is also experiencing a price increase. Over two years ago, the price hike was attributed to the local currency deterioration against the U.S. dollar. This time around, the price hike is due to a component shortage.
Data includes desk-based PCs, notebook PCs and ultramobile premiums (such as Microsoft Surface), but not Chromebooks or iPads. All data is estimated based on a preliminary study. Final estimates will be subject to change. The statistics are based on shipments selling into channels. Numbers may not add up to totals shown due to rounding.
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