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PC Market Not Expected to Stabilize before 2017


Dec. 4 2020, Updated 10:51 a.m. ET

IDC reports that PC market is likely to see growth in 2017

IDC (International Data Corporation) in a recent report on August 26, 2015, stated that globally, PC (personal computer) shipments are expected to fall by 8.7% in 2015. In calendar 2Q15, PC shipments fell globally by 9.50%, to 68.4 million units on a YoY (year-over-year) basis, as stated by Gartner.

This situation is likely to continue through 2016 and isn’t likely to stabilize before 2017. The decline in PC shipments through 2016 would mark five years of declining PC shipments. Growth is expected to resume in 2017 on the back of the commercial market, whereas consumer volume is likely to witness a decline to 2019.

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The PC industry was banking on the July 2015 launch of Microsoft’s (MSFT) Windows 10 to stimulate the industry. But the PC market shrank more than expected, as stated by IDC in its recent report. PC inventories piling up from previous quarters in anticipation of the Windows 10 launch as well as the strengthening of the US Dollar (UUP) in comparison to other major currencies contributed to this shrinkage.

In 2Q15, PC shipments suffered the worst fall since 3Q13

In 2Q15, PC sales suffered their worst fall since 3Q13. Lenovo, the top vendor in worldwide PC shipments, experienced a fall in shipments in 2Q15 for the first time since 3Q13. Its poor performance in Latin America and Japan contributed to its fall.

Due to the tough business environment in EMEA (Europe, the Middle East, and Africa), Latin America, and Japan (EWJ), Lenovo (LNVGY) experienced the double-digit fall in its shipments. A sharp fall in EMEA due to the strengthening of the US dollar against the euro also impacted Hewlett-Packard’s (HPQ) growth.

However, according to the IDC, Apple (AAPL) was the only PC player among the top five players that outperformed its peers with global growth of 16.10%.


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