Global personal computer (PC) sales have declined the most in the last two decades in the September quarter. Shipments of desktops and laptops declined by about 19.5 percent year-on-year to about 68 million units. This is the fourth consecutive quarter of decline in PC shipments. The report of market research firm Gartner states that due to people returning to office and reopening of schools, the demand for PC has reduced in both consumer and enterprise segments. “Excessive inventory has become a major problem due to weak demand for PCs in both consumer and enterprise segments as supply chain disruptions ease,” said Gartner analyst Mikako Kitagawa. Many consumers had purchased new personal computers in the last two years and hence demand in this segment is weak. Due to tensions between some countries and weak economic conditions, companies have reduced their spending on IT and PCs are not their priority. Europe, Middle East and Africa (EMEA) witnessed the biggest decline of 26.4 percent in the September quarter. This is the third consecutive quarter of decline in sales in this region. Weak economic conditions in Europe and the war between Ukraine and Russia are impacting demand. Gartner says that many PC vendors in Russia closed their businesses in the first two quarters of this year. This has had a negative impact on total shipments and is visible in comparison on a year-on-year basis. PC sales in Asia Pacific have declined by 16.6 percent on a year-on-year basis. The main reason for this is the lockdown due to the epidemic in many cities of China. This has slowed down the business of companies and reduced the demand for personal computers in consumer, government and enterprise segments. Dell ranked first in the PC market in terms of total PC shipments. Its market share was 26.8 percent. It was followed by HP (about 23.2 percent), Apple (16 percent) and Lenovo (about 15.8 percent). Dell’s laptop shipments have declined in all regions except Japan. However, its desktop shipments have increased on a year-on-year basis in all regions except Asia Pacific.
Tag: personal computer
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Recession hit the sales of personal computers, sales decreased by 16 percent last year
Last year there was a decline of 16 percent in the global market of personal computers (PC). Recession, increase in energy costs and high interest rates are the major reasons behind this. Last year, total shipments in this market were 28.51 crore units. Total shipments of desktops and notebooks were down 29 percent in the fourth quarter to about 65.4 million units. Lenovo holds the first position in the global PC market. After this there are HP, Dell, Apple and Asus. PC sales worldwide increased rapidly during the pandemic about two years ago. However, PC shipments last year have been higher than the period before Corona. The report of market research firm Canalys states that last year, notebook shipments declined by about 19 percent to 22.38 crore units. There was a huge decline of 30 percent in the fourth quarter and its shipments stood at around 5.14 crore units. In terms of market share, Lenovo maintained its first position in the fourth quarter and the full year. The company’s shipments were approximately 1.55 crore units. Last year the market share of this Chinese company was 23.9 percent. This is a decline of approximately 29 percent on a year-on-year basis. HP stood at the second position with shipments of about 1.32 crore units. The company’s sales have declined by 29 percent in the fourth quarter. HP’s market share was 19.4 percent. Dell has suffered the most in terms of sales. The company’s sales declined by about 37 percent to 1.08 crore units. Last year the market share of this American company was 17.4 percent. The global smartphone market is also suffering losses due to the slowdown. Due to this, global production of smartphones has decreased in the third quarter of the current year. The smartphone industry had produced about 289 million units between July and September. This was a decrease of 0.9 percent compared to the second quarter and almost 11 percent on an annual basis. South Korea’s Samsung retained its first position in smartphone manufacturing. American smartphone company Apple was in second place and China’s Xiaomi was in third place. -
Samsung’s preparation to make laptops in India, impact of central government’s import restrictions
South Korean consumer electronics company Samsung has prepared to increase manufacturing in India. The company’s smartphones are already being produced in the country. Samsung can also make laptops in its factory in Greater Noida, Uttar Pradesh from next month. This will give a boost to the Make in India scheme of the Central Government. Under this scheme, incentives are given for electronics manufacturing. According to a media report, Samsung has prepared to set up a new laptop manufacturing unit in the Greater Noida factory that produces smartphones. This unit will have the capacity to manufacture 60,000-70,000 laptops annually. In this report, quoting a source, it has been said that this unit will be started next month. Last month, the government had imposed licensing conditions for import of personal computers, laptops and tablets. Its objective is to increase manufacturing in the country. Minister of State for Electronics and Information Technology, Rajeev Chandrasekhar had said that the new rule will ensure that reliable systems and products are used in the country. A few months ago, the government had approved the Production-Linked Incentive (PLI) Scheme 2.0 with an incentive of Rs 17,000 crore to promote manufacturing of IT hardware like laptops and tablets in the country. It is expected to produce products like personal computers, servers, laptops and tablets worth about Rs 3.35 crore in six years. American iPhone maker Apple, which has a major share in the premium smartphone market, has planned to increase manufacturing in India. The company has prepared to shift a large part of its manufacturing in China to India. Recently Apple also opened two retail stores in India. These stores are getting good response. A large number of Apple’s suppliers are in China and the company is planning to reduce its dependence on China. Apple started manufacturing of iPhones in the country in 2017. The company’s iPhone 15 series smartphones, launched earlier this month, are also being produced in the country. -
India’s PC market grew less than 1 percent last year
The PC market in the country grew only 0.3 percent last year. However, this market has registered a decline of 28.5 percent in the fourth quarter of last year. This market includes desktops, notebooks and workstations. The notebook category declined by 37.8 percent in the fourth quarter, while desktop shipments increased. According to International Data Corporation (IDC), due to high inflation and weak sentiment, the consumer segment of this market has declined by 27.4 percent and the enterprise segment by 42.6 percent on a year-on-year basis. However, the Government and Education segments have grown by 117.6 per cent and 28.3 per cent respectively. Desktops and workstations recorded growth of 32.3 percent and 24.7 percent on year-on-year basis but there was a decline of 8.4 percent in the notebook category. The premium notebooks category grew by 14.6 percent but the commercial segment was down by 7.9 percent. Shipments through online channels have declined by 9.4 percent last year. HP ranks first in the country’s PC market. Its market share is 30.3 percent but it has declined by 3.2 percent on year-on-year basis. American company Dell is in second place. Its market share is 19.2 percent and it has decreased by one percent compared to last year. China’s Lenovo is in third place. Its market share was 18.9 percent and there was an annual growth of 3.1 percent. It is followed by Acer and ASUS with market shares of 9.9 percent and 6.8 percent respectively. The re-increase in Corona cases in China at the end of last year has affected many industries. This is also likely to affect the launch of new PCs and laptops. The problems of suppliers of companies manufacturing personal computers and laptops in China also increased due to Corona. This will cause delays in shipments, which will impact the availability of products like new laptops. Contract manufacturing firms like Compal, Inventec, Quanta and Wistron did not suffer from shortages of components or workers. They had not asked their suppliers to increase production due to the availability of inventory and the expectation that demand would not be very high in the first quarter. -
Apple suffered a big blow due to 29 percent decline in global shipments of PC.
Global shipments of personal computers (PC) declined by 29 percent in the first quarter. The main reasons behind this are weak demand, excess inventory and uncertainty about the state of the economy. Due to this, American company Apple, which manufactures Mac computers, has suffered a big loss. Market research firm IDC reports that global shipments of PC declined to 5.69 crore in the first quarter of this year. It was Rs 8.02 crore in the same period last year. In the last quarter of last year, these shipments had declined by 28.1 percent on a year-on-year basis. Apple’s shipments declined the most in the first quarter by about 40.5 percent. The decline in shipments for Dell was 31 percent. Apart from this, Lenovo, Asustek Computer and HP have also faced decline in shipments in the first quarter. Apple had said in February that sales of its Mac computers had increased rapidly due to work from home during the pandemic. There has been a 29 percent decline in value in the last quarter on a year-on-year basis. IDC said, “The decline in demand has given device makers an opportunity to make changes in the supply chain. Many companies are exploring the possibility of increasing production outside China.” There is a possibility of slowdown in the economies of big countries. Financial crisis in some big banks and increase in inflation may hinder growth and investment. However, iPhone sales have been good for Apple. The number and value of iPhones made in India has increased in the last year. Apple is shifting production from China to diversify its supply chain and due to this the production of the company’s devices has increased in India. Recently, Counterpoint reported that shipments of iPhones manufactured in India increased by 65 percent last year on a year-on-year basis. Apart from this, the value of iPhone has increased by 162 percent. Last year, Apple’s share in the total shipments of smartphones from India was about 25 percent. About 85 percent of the iPhones sold worldwide are manufactured in China. However, this may reduce due to Apple’s efforts to shift its manufacturing out of China. -
HP suffered a blow due to weak demand for PC, Laptop, 29 percent decline in sales.
HP, one of the big computer devices companies, has been shocked by the slowdown in the personal computer market. In the first quarter of the current year, the sales of the company’s personal systems segment (desktop and notebook PC) have declined by 29 percent. There was a decline of about five percent in the printing segment of the company. Market research firm IDC has reported that global PC shipments declined by approximately 30 percent in the first quarter. There was a strong increase in demand for companies like HP, Lenovo and Dell during Corona. The main reason for this was the increase in sales of laptops and other electronic devices due to the staff of many companies working from home. In the last few months, sales of devices like laptops have declined due to most companies calling workers back to office. HP expects revenue to grow in the second half of the current year. “The second half will be better from a consumer demand perspective,” Enrique Lores, the company’s CEO, told Reuters. The company’s revenue in the last quarter was $12.91 billion. Analysts had estimated it to be a little more than $13 billion. However, the company’s net income increased to $1.1 billion. It was one billion dollars in the same period last year. Global shipments of PC declined to 5.69 crore in the first quarter of this year. It was Rs 8.02 crore in the same period last year. In the last quarter of last year, these shipments had declined by 28.1 percent on a year-on-year basis. Apple’s shipments declined the most in the first quarter by about 40.5 percent. The PC market in India grew only 0.3 percent last year. However, this market has registered a decline of 28.5 percent in the fourth quarter of last year. This market includes desktops, notebooks and workstations. The notebook category declined 37.8 percent in the fourth quarter, while desktop shipments increased. HP ranks first in the country’s PC market. Its market share is more than 30 percent. Last year, the global market for personal computers had declined by 16 percent. Recession, increase in energy costs and high interest rates were the major reasons behind this. -
Laptops and PCs will not come to India from abroad, government is trying to increase local manufacturing.
The import of laptops, personal computers, and tablets has been banned in the country. The central government has taken this decision to increase local manufacturing. This can have a big impact on the import of laptops and personal computers from China. The import of electronics in the country during April to June was approximately $19.7 billion. This included laptops, personal computers and tablets. In this regard, it has been said in the notice issued by the government on Thursday, “Import will be allowed on valid license for limited import.” The share of electronics in the country’s total merchandise imports is 7 to 10 percent. Ali Akhtar Jafri, former director general of MAIT, an organization associated with the electronics industry, said, “The objective of this decision is to increase manufacturing in the country.” Through production-linked incentives, the government is trying to increase local manufacturing in more than two dozen sectors including electronics. The government has extended the deadline to apply for a $2 billion manufacturing incentive scheme to attract large investments in IT hardware manufacturing, including laptops, personal computers, tablets and servers. This scheme is important to make the country a major force in the global electronics supply chain. The government aims to increase the annual production of electronics to $300 billion by 2026. Big companies selling laptops in the country include Apple, Dell, Lenovo and HP, Acer, Samsung and LG. A large number of laptops are imported from countries like China. Madhavi Arora, economist at Emkay Global, said the decision appears to be aimed at curbing large-scale imports of certain goods. The share of laptops, personal computers and tablets in the country’s total imports is about 1.5 percent. About half of these are purchased from China. The government had earlier increased tariffs on products like mobile phones to promote local manufacturing. Global PC shipments declined nearly 30 percent in the first quarter. There was a strong increase in demand for companies like HP, Lenovo and Dell during Corona. The main reason for this was the increase in sales of laptops and other electronic devices due to the staff of many companies working from home. Sales of devices like laptops have declined due to most companies calling workers back to office. -
Apple, Samsung and HP stopped import of laptops in India, government has imposed ban
Apple, Samsung and HP, among the big companies manufacturing devices, have stopped the import of laptops and tablets in India. The central government had on Thursday banned the import of these devices without a license. Its objective is to increase local manufacturing of electronics. However, this decision of the government has dealt a big blow to companies manufacturing personal computers, laptops and tablets. Most of these companies import these devices for sale in the country. In the Bloomberg report, quoting sources having knowledge of this matter, it has been said that these companies are in talks with the government to soon get a license to import these devices. For them the festival season is very important in terms of sales. Queries sent to Apple, Samsung and HP in this regard did not receive any response. This may increase problems for companies like Apple and Samsung. These companies are already struggling with excess inventory in the international market and slowing growth. This decision can have a big impact on the import of laptops and personal computers from China. The import of electronics in the country during April to June was approximately $19.7 billion. This included laptops, personal computers and tablets. In this regard, it was stated in the notice issued by the government, “Import will be allowed on valid license for limited import.” The share of electronics in the country’s total merchandise imports is 7 to 10 percent. Ali Akhtar Jafri, former director general of MAIT, an organization associated with the electronics industry, says, “The purpose of this decision is to increase manufacturing in the country.” Through production-linked incentives, the government is trying to increase local manufacturing in more than two dozen sectors including electronics. With an aim to attract large investments in IT hardware manufacturing, the government has extended the deadline to apply for the $2 billion Manufacturing Incentive Scheme. This scheme is important to make the country a major force in the global electronics supply chain. The government aims to increase the annual production of electronics to $300 billion by 2026. Big companies selling laptops in the country include Apple, Dell, Lenovo and HP, Acer, Samsung and LG. A large number of laptops are imported from countries like China. -
Lenovo suffered a big blow due to decline in PC sales, 24 percent decline in revenue.
China’s Lenovo has suffered a major setback due to the decline in demand for personal computers (PC). The company’s revenue declined by 24 percent in the June quarter. The world’s largest PC maker is facing decline in sales for four consecutive quarters. The company’s profit was 14 percent less in the last financial year. Lenovo’s revenue in the June quarter was $12.9 billion. After this the share price of the company has decreased by six percent. There was a significant increase in electronics sales during Corona as customers and companies purchased a large number of PCs to shift to remote work. However, last year the company’s revenue started declining due to decrease in demand due to increase in interest rates and increase in inflation. The pace of recovery in PC demand is weak and many retailers are left with unsold inventory. This has forced PC makers and their suppliers to adjust production volumes and rates. There was a 29 percent decline in global shipments of PC in the first quarter of this year. Due to this, American company Apple, which manufactures Mac computers, suffered a big loss. Market research firm IDC reported that global shipments of PC declined to 5.69 crore units in the first quarter. It was Rs 8.02 crore in the same period last year. In the last quarter of last year, these shipments had declined by 28.1 percent on a year-on-year basis. Apple’s shipments declined the most in the first quarter by about 40.5 percent. The decline in shipments for Dell was 31 percent. Apart from this, Lenovo, Asustek Computer and HP also faced decline in shipments in the first quarter. Apple had said that sales of its Mac computers had increased rapidly during the pandemic due to work from home. There has been a 29 percent decline in value terms in the first quarter on a year-on-year basis. IDC had said, “The decline in demand has given device makers an opportunity to make changes in the supply chain. Many companies are exploring the possibility of increasing production outside China.” There is a possibility of slowdown in the economies of big countries. Financial crisis in some big banks and increase in inflation may hamper growth and investment.