HP in tussle with Dell for lead in global PC market: Gartner

Stan Beer
Thursday, 18 January 2007 13:51

IT Industry - Market

For the second consecutive quarter, Hewlett-Packard was the number one vendor based on worldwide PC shipments, and it finished 2006 virtually tied with Dell as the leader of worldwide PC shipments, according to preliminary results from research group Gartner.

According to Gartner, worldwide PC unit shipments in the fourth quarter of 2006 grew 7.4% compared to a year ago. During the quarter, 67.3 million units were shipped.

In the fourth quarter of 2006, Hewlett-Packard’s worldwide PC shipments increased 23.9%, as its market share totaled 17.4%. Dell remained in the number two position in the quarter, but its shipments decreased 8.7%, resulting in its market share total of 13.9%.

Gartner analysts said the overall PC market was impacted by stiff competition from the consumer electronics industry and the upcoming Vista launch.

“PC price erosion was a defining feature of the quarter,” said Mikako Kitagawa, principal analyst for Gartner Dataquest’s Client Computing Markets Group. “In the consumer market, the PC industry battled for wallet share against other consumer electronics products, such as games consoles and flat panel TVs, while at the same time cutting prices to ensure market demand did not stall prior to Microsoft’s Vista consumer launch in January.”

Worldwide PC shipments totaled 239 million units in 2006, a 9.5% increase from 2005. The Europe, Middle East and Africa region continued to be the largest PC region during the year. Asia/Pacific and Latin America also well exceeded the worldwide industry growth average. US PC shipments were well below the worldwide average, showing clear evidence of market saturation.