Business, Enterprise, Hardware

IDC Sees Stabilization in PC Shipments, Lenovo Dethrones HP

Just the other day International Data Corporation presented their PC market findings for the second quarter of the 2013, and while there are some positive signs, PC shipments fell by 11.4 percent when compared to the same period last year.

In total, Q2 worldwide PC shipments stopped at 75.6 million units (85.3 million in 2Q12) but IDC analysts expected even worse results than what the numbers suggested at the end – particularly since the 1Q13 results were as catastrophic as they were.

Notable signs of the PC market recovery have been found in the United States, but at the same time rest of the world including EMEA and Asia/Pacific regions went down enough to ?compensate? and continue the negative trend.

IDC analysts weren?t as prone to explicitly state that Windows 8 is slowing the market down as their Q1 report clearly suggested, however, it is clear that the market is still struggling to find a proper way for the touch-enabled PCs to break the traditional devices barrier and thrive on the market. Another problem IDC noted is the perspective of the potential buyers amidst the economic pressures and high Ultrabook prices, while manufacturers remain relatively conservative and proceed with caution (slower than they should).

Still, IDC expects results to improve, with their own Jay Chou saying that "we are still looking for some improvement in growth during the second half of the year (?) Slower growth in Europe and China reflect the risks, while the improved U.S. outlook reflects potential improvement.? He continued on to say that the main weakness could be found in the emerging markets, which are significant enough to become a threat to a long-term growth.

According to the figures from IDC, Lenovo finally took the throne of the leading PC vendor, continuing their successful story after many quarters of showing up in the HP?s rear-view mirror. Even when the PC industry failed the most in Q1 they managed to see positive growth. 2Q results show that the company has a 16.7 percent market share (although the total amount of shipments went down slightly), while HP follows with 16.4 percent.

"We don’t like being No. 2 and we don’t plan to stay there," said an HP spokesperson while Lenovo?s chairman and CEO Yang Yanquing noted that ?Even in the toughest PC market ever, Lenovo has not only gained share, but we have steadily improved profitability and introduced even more innovative products for every market segment (?) The battle for PC leadership could certainly still go back and forth. But I am fully confident that there remains substantial room for profitable growth and ground-breaking innovation in the PC marketplace.?

PC industry will certainly need more than fierce competition between Lenovo and HP if things are to improve significantly at some point. Fact is that Acer Group as well as ASUS continued to see steep declines (32.6% and 21.1% respectively) with IDC noting that the former has been ?hampered by slow demand for pricier Ultrabook? range of computers, while the latter had issues clearing their inventory in key regions. As noted earlier, PC market in the U.S. improved a lot ? having a decline in shipments by only 1.9%, but rest of the regions continued with severe shrinkage rates.