Published: Wed, October 11, 2017
Hi-Tech | By Ellis Neal

HP victor in better than expected Q3 PC market

HP victor in better than expected Q3 PC market

For Q3 2017, both Gartner and IDC found PC shipments were down globally year-over-year.

AFTER YEARS of predictions from the world's top tech industry analysts that traditional PCs were a dying breed, they're still going strong, and - according to analyst house IDC's latest quarterly report - Q3 shipments were stable and better than expected.

IDC said that EMEA PC shipments only fell by 0.6 per cent annually in Q2 of this year, kept afloat by a 3.1 per cent year-on-year increase in notebook shipments. Only Japan and Canada showed healthy PC growth last quarter. In the United States market, all PC makers saw a decline in shipment numbers-HP registered the lowest decline at 2.7% year-on-year to soften the blow, while Lenovo lost the most with a 25.2% decline in shipments and Asus clocked a 22% decline. The top five vendors in IDC's results were HP, Lenovo, Dell, Apple, and Asus. But given the longstanding trend of decline in the market, it's safe to assume that PC shipments will continue to trend downward even as we approach the holiday shopping season.

IDC agrees with Gartner that HP was up, but found that Lenovo, Dell, and Apple were largely flat. But any growth or continuity experienced there was offset by massive declines in the U.S. Sales here declined 10 percent year-over-year during Q3 2017. The firm found, however, that the remaining smaller companies only saw a relatively small (3.2 percent) drop.

Additionally, IDC reported that the components shortage actually improved this quarter and did not significantly slow down production volumes.

This was especially evident in Europe, where the traditional PC market continued to show signs of progress towards stabilisation for another quarter, IDC said.

Apart from the USA market pulling down global numbers, the shortages of certain components such as the DRAM led to changes in component prices.

"Business PC demand, led by Windows 10 upgrades, continued to drive PC shipments across all regions, but its refresh schedule varies by region". "The countries with stable economies, such as the USA, have created a positive sentiment among businesses, especially for SMBs, which are more vulnerable to external events such as economic or political [ones]", said Kitagawa.

"The component price hike impacted the consumer PC market as most vendors generally pass the price hike on to consumers, rather than absorbing the cost themselves", Kitagawa said.

"While there were signs of stabilization in the PC industry in key regions, including EMEA, Japan and Latin America, the relatively stable results were offset by the U.S. market, which saw a 10% year-over-year decline in part because of a very weak back-to-school sales season", said Mika Kitagawa, principal analyst at Gartner.

The PC Gaming channel is presented by Intel's Game Dev program.

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