Skip to main content

Worldwide PC Shipments Reach 74.4M Units in 2Q14

Truly, few (if any) analysts expected the PC market to show signs of a recovery in America, but that's what happened. The U.S. market showed strong 6.9 percent year-on-year growth in the second quarter of 2014.

Continuing upgrades of Windows XP systems boosted shipments in commercial portables and desktops, helping the commercial segment of the market. At the same time, retail acceptance of emerging product categories helped the consumer segment to somewhat stabilize.

Global Quarterly Results and Industry Outlook 

Worldwide PC shipments totaled 74.4 million units in the second quarter of 2014 (2Q14), a year-on-year decline of -1.7 percent, according to the International Data Corporation (IDC). The results reflect the smallest decline in global PC shipments since the second quarter of 2012 when declining shipments of mini notebooks combined with a surge in media tablet sales to disrupt the PC market.

Buoyed by both continued business PC replacements and returning consumer interest in low-cost notebooks, the preliminary results for 2Q14 are markedly better than the projected decline of -7.1 percent for the quarter.

On a geographic basis, Europe, the United States, and Canada showed the strongest growth, reflecting more stable conditions. Japan would have joined list but for the dramatic surge last quarter and new taxes that limited second quarter growth.

In contrast, emerging regions continue to see declining PC volumes as weaker economies and political issues combine to depress growth.

"The recent strength in mature regions is a positive sign," said Loren Loverde, Vice President at IDC. "However, an important part of this strength is driven by the rebound from weaker demand last year and to potentially short-term replacement activity. We do not see the recent gains as a motive to raise the long-term outlook although 2014 growth could get closer to flat, rather than the May projection of -6 percent."

The PC industry remains intensely competitive, with factors such as economy of scale and channel reach continuing to add to the shift toward mobility and new designs in driving market consolidation. While the top 5 PC vendors grew 9.8 percent year on year in 2Q14, the rest of the market declined -18.5 percent on the year.

One encouraging factor was a good intake of lower-end systems, including Chromebooks, which coincides with the recent slowing in tablet growth -- and perhaps signals the beginning of some longer-term stabilization on the consumer side.

Moving forward, strong sales in the back-to-school season and healthy consumer sales in the holiday season should keep the U.S. PC market in positive territory for the rest of the year.

Popular posts from this blog

Linux Phone Standards Forum

A new Linux Phone Standards Forum (LiPS) has been founded to promote mass market adoption of Linux telephony terminals through standardization, interoperability testing and market education. The founding members include Cellon, France Telecom, FTM Labs, Huawei, Jaluna, Mizi, Open Plug and PalmSource. LiPS will support device manufacturers and operators in bringing to market Linux-based devices at lower cost (due to lower deployment costs through standardization), while facilitating the programming and development process for software and silicon vendors. The Forum said plans to work with other organizations such as the OMTP and OMA to identify requirements of distinct device categories including smartphones, feature phones, fixed-line, or converged devices. For each of these categories, or profiles, LiPS will define standard API�s that support relevant applications and services as well as a certification process for technology providers. In keeping with the open source philosophy, L

Cloud Services Gain New Momentum in Europe

Across European nations, more CIOs and CTOs are investing in public cloud services that become the essential foundation for the design and delivery of innovative digital transformation projects. Public cloud computing spending in Europe will reach $113 billion in 2022 and will double to $239 billion by 2026, growing at a 22 percent 5-year CAGR, according to the latest market study by International Data Corporation (IDC). Investments in Software-as-a-Service (SaaS) will continue to lead most of the spending in Public Cloud in Europe in 2022, but Platform-as-a-Service (PaaS) will be the fastest-growing segment. In fact, PaaS enables digital business deployment via the quick testing and production of new software applications. Public Cloud Market Development Professional services, banking, and discrete manufacturing will be among the top spenders in public cloud services, absorbing almost 60 percent of the overall public cloud services spend in 2022.  Human-centric industries are adjustin

Strategic Digital Transformation Spending Trends

Looking ahead, many Chief Executive Officers (CEOs) continue to selectively invest in new strategic digital transformation projects that enable a significant competitive advantage. Some additional investments may go towards improving existing IT infrastructure and operations.  Worldwide IT spending is now projected to total $4.5 trillion in 2022 -- that's an increase of 3 percent from 2021, according to the latest updated estimate by Gartner. For now, most CIOs will be relieved that their budget is safe from major cuts. While IT spending is expected to grow in 2022, it will be at a slower pace than in 2021 -- partly due to a 5 percent cutback on spending for personal computers, media tablets, and printers. Digital Transformation Market Development "Central banks around the world are focusing on fighting inflation, with overall inflation rates expected to be reduced through the end of 2023. However, the current levels of volatility being seen in both inflation and currency exch