Menu
PC sales may be worse than expected this year

PC sales may be worse than expected this year

IDC revised its forecast for PC shipments in 2015 to a drop of 4.9 per cent

PC shipments are forecast to drop by 4.9 per cent this year, more than the 3.3 per cent fall earlier predicted, according to IDC.

Earlier in the day, Intel, the key chipmaker for the PC business, said its first quarter revenue would be around $US12.8 billion, down from the about $US13.7 billion it had earlier expected, citing weaker than anticipated demand for business desktop PCs and lower than expected inventory levels in the PC supply chain.

About 293 million PCs are expected to be shipped this year, according to IDC. The PC market dropped in value by 0.8 per cent to $US201 billion in 2014, and is expected to drop by another 6.9 per cent in 2015, IDC said. Smaller declines in subsequent years are expected to take the total market to $US175 billion by 2019.

The research firm cut its forecast as it expects the stronger U.S. dollar will make computers more expensive in many countries. Microsoft is also expected to roll back subsidies it was offering manufacturers of Windows computers with its Bing as the default search engine.

A pickup in consumer interest is, however, expected later in the year as products roll out based on Microsoft's new Windows 10 operating system and Intel's Skylake chip architecture.

Intel blamed the weakening of the PC market on a slower than expected purchase of newer PCs by small and medium businesses holding on to computers running the earlier Windows XP operating system from Microsoft. It also cited challenging macroeconomic and currency conditions, particularly in Europe.

The PC business was earlier largely expected to be cannibalized by tablets, but it turns out that these devices are also facing a rough patch, in part because of larger-screen phones, popularly known as phablets. Worldwide shipments of tablets are expected to reach 234.5 million units in 2015, a small year-over-year growth of 2.1 per cent from last year, IDC said Thursday.

"Fortunately for PC makers, tablet growth has slowed," said Jay Chou, an analyst at IDC in a statement. The PC ecosystem is already benefiting from efforts by PC makers to offer products that narrow the gap in price and user experience gap with mobile devices, he added. That said, devices like phones, tablets, and wearables continue to pose a challenge to PCs, IDC said.

John Ribeiro covers outsourcing and general technology breaking news from India for The IDG News Service. Follow John on Twitter at @Johnribeiro. John's e-mail address is john_ribeiro@idg.com

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags IDCMicrosofthardware systemsdesktop pcslaptopsintel

Featured

Slideshows

Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow exclusively introduces Tenable Network Security to A/NZ channel

Arrow Electronics introduced Tenable Network Security to local resellers in Sydney last week, officially launching the distributor's latest security partnership across Australia and New Zealand. Representing the first direct distribution agreement locally for Tenable specifically, the deal sees Arrow deliver security solutions directly to mid-market and enterprise channel partners on both sides of the Tasman.

Arrow exclusively introduces Tenable Network Security to A/NZ channel
Examining the changing job scene in the Kiwi channel

Examining the changing job scene in the Kiwi channel

Typically, the New Year brings new opportunities for personnel within the Kiwi channel. 2017 started no differently, with a host of appointments, departures and reshuffles across vendor, distributor and reseller businesses. As a result, the job scene across New Zealand has changed - here’s a run down of who is working where in the year ahead…

Examining the changing job scene in the Kiwi channel
​What are the top 10 tech trends for New Zealand in 2017?

​What are the top 10 tech trends for New Zealand in 2017?

Digital Transformation (DX) has been a critical topic for business over the last few years and IDC is now predicting a step change as DX reaches macroeconomic levels. By 2020 a DX economy will emerge and it will become the core of what New Zealand industries focus on. From the board level through to the C-Suite, Kiwi organisations must be prepared to think and act digital when the DX economy emerges in 2017.

​What are the top 10 tech trends for New Zealand in 2017?
Show Comments