Friday, 10 July 2015 15:32

IDC sees 11.8% YoY decline in PC shipments Featured

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Ahead of the hoped for PC market saviour that is Windows 10 comes figures from IDC showing an 11.8% year-on-year decline in PC shipments.

66.1 million PCs were shipped in Q2 2015, according to IDC, which says this was a decline of nearly 12% over the same quarter in 2014, which was about 1% below projections for the quarter.

IDC says this slowdown in shipments was ‘largely anticipated as a result of stronger year-ago shipments relating to end of support for windows XP as well as channels reducing inventory ahead of the release of Windows 10’ - as well as weaker exchange rates also factoring in.

In addition, IDC’s VP of Worldwide PC Trackers and Forecasting, Loren Loverde said "Although the second quarter decline in PC shipments was significant, and slightly more than expected, the overall trend fits with expectations.

"We continue to expect low to mid-single digit declines in volume during the second half of the year with volume stabilising in future years. We're expecting the Windows 10 launch to go relatively well, though many users will opt for a free OS upgrade rather than buying a new PC.

“Competition from 2-in-1 devices and phones remains an issue, but the economic environment has had a larger impact lately, and that should stabilise or improve going forward."

Rajani Singh, IDC’s Senior Research Analyst for PCs said: "The U.S. market was in line with forecasts, declining -3.3% from a year ago, after avoiding the global market declines over the past five quarters. Soft retail demand, short term weakness from inventory reductions, some cannibalisation from competing devices, and low demand for large commercial refreshes are among the factors that reduced PC shipments.

"Nevertheless, moving forward, we expect a healthy second half as inventory and purchase decisions pick up following the launch of Windows 10. Emerging product categories will remain a bright spot as attention shifts to convertibles and Chromebooks in the commercial as well as consumer segments."

The US saw shipments totalling nearly 16.4 million units in Q2 2015, shrining 3.3% YoY. The EMEA region saw unfavourable exchanged rates, weakening demand and high-inventory levels. Asia Pacific saw volume ‘close to expectations’ despite currency fluctuations and excess commercial notebook inventory in China. Meanwhile, the weak Yen in Japan ‘contributed to a difficult market’.

Lenovo remained the top PC company with shipments of 13.4 million units, up 1% from Q1 2015 but down 7.5% YoY. HP is number 2 but with shipments down 10.4% YoY, with US volume down nearly 7%.

Dell is No.3 with 9.5 million units shopped but with a YoY decline on 8.7% due to strong 2014 results, along with slower US growth but strong AP and EMEA performance.

Apple outperformed with 16.1% global growth, avoiding the price competition plaguing Windows OEMs.

Acer saw continued Chromebook growth but has seen ‘a significant decline from the prior quarter and year ago volumes.’

ASUS finds itself ‘statistically tied with Acer for the number 5 position’ but had strong US growth.

Here are the two relevant IDC tables, with more information available here and here

Table 1:

IDC-table-1

Table 2:

IDC-table-2

 


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Alex Zaharov-Reutt

One of Australia’s best-known technology journalists and consumer tech experts, Alex has appeared in his capacity as technology expert on all of Australia’s free-to-air and pay TV networks on all the major news and current affairs programs, on commercial and public radio, and technology, lifestyle and reality TV shows. Visit Alex at Twitter here.

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