Gartner Says Worldwide PC Shipments Grew 3.2 Percent in Third Quarter of 2011
For the primary Time, Lenovo Moved Into the No. 2 Position and Asus Became the No. 5 Vendor
STAMFORD, Conn., Oct 12, 2011 (BUSINESS WIRE) — Worldwide PC shipments totaled 91.8 million units within the third quarter of 2011, a three.2 percent increase from the third quarter of 2010, per preliminary results by Gartner, Inc. These results are slightly less than Gartner’s earlier projection of five.1 percent growth for the quarter. The EMEA region contributed to lower-than-expected growth led by a weak Western European market.
“The inventory buildup, which slowed growth the last four quarters, mostly cleared out in the course of the third quarter of this year; however, the computer industry have been performing below normal seasonality,” said Mikako Kitagawa, principal analyst at Gartner. “As expected, back-to-school PC sales were disappointing in mature markets, confirming that the buyer PC market remains weak. The recognition of non-PC devices, including media tablets, equivalent to the iPad and smartphones, took consumers’ spending faraway from PCs.
“Because the PC market faced a slowdown, vendor consolidation has become a more apparent trend within the industry. Lenovo’s recent merger with NEC, and its acquisition of Medion, in addition to HP’s announcement that it can spin off or sell its PC business, underlined this trend in the course of the quarter.”
HP, the No. 1 vendor in accordance with global PC shipments, grew faster than the industry average, and its market share reached 17.7 percent within the third quarter of 2011 (see Table 1). Despite announcing in the midst of 2Q11 the aptitude spinoff of its PC business, HP experienced strong growth inside the U.S., while outside the U.S., growth was relatively weak or average.
Lenovo became the second one-largest PC vendor inside the worldwide marketplace for the primary time. The company’s expansion was boosted partly by the joint vendor with NEC in Japan. However, its aggressive marketing to both the pro and consumer PC markets accelerated its shipment volume.
Dell’s performance was below the industry average in most regions, because the company faced intensified competition within the professional space, where Dell have been traditionally strong. Acer mostly cleared its inventory buildup within the EMEA region by the third quarter of 2011. However, channels was adopting a conservative position in regard to placing orders following the inventory issues. Asus widened the distance with Toshiba, the sixth-largest vendor. Asus achieved strong growth in China.
Within the U.S., PC shipments totaled 17.8 million units inside the third quarter of 2011, a 1.1 percent increase from the third quarter of 2010. The U.S. PC market experienced year-over-year growth for the primary time in three quarters. While the shopper market continued to be weak with disappointing back-to-school sales within the third quarter, the inventory was kept mostly in check as industry expectations were relatively low.
“The principle contributor to the weak consumer PC market within the U.S. was intensified competition for consumers’ money,” Ms. Kitagawa said. “Media tablets and smartphones took center stage within the U.S. retail sector, and the expectancy is for continuing demand for these devices during the holiday season.”
HP showed strong growth within the U.S. PC market, as shipments increased 15.1 percent within the third quarter, and its market share totaled 28.9 percent (see Table 2). Despite the possible spinoff of its PC business, HP executives’ efforts to provide the arrival of “business as usual” perceived to work within the quarter.
Dell struggled as shipments declined 7.2 percent within the third quarter of 2011. “Dell’s issue have been balancing profitability and market share gain, a tricky task in a computer industry where high volumes and coffee margins are the norm,” Ms. Kitagawa said.
Gartner’s early study shows that Apple experienced the strongest growth some of the top five vendors within the U.S. PC market. Apple’s PC shipments increased 21.5 percent within the third quarter of 2011. The robust growth of the MacBook Air continued to steer Apple’s overall growth within the U.S. market.
PC growth in EMEA reached 26.6 million units inside the third quarter of 2011, a 2.9 percent decline from the second one quarter of 2010. It was the third consecutive quarter that the EMEA region has experienced negative growth. However, analysts said vendors can have seen the tip of backed-up inventory issues, which were knocking down growth. The patron PC market in Western Europe remained weak, with consumer confidence permanently shaken by the industrial issues spreading across many of the region. Furthermore, the market share of mini-notebooks continued to say no, especially in Western Europe, which also contributed to the weak year-over-year comparison.
In Asia/Pacific, PC shipments reached 31.8 million units within the third quarter of 2011, a 6 percent increase from an analogous period last year. Vendors continued to stimulate demand aggressively with promotions and costs, benefiting buyers in the hunt for good prices. It also provided a chance for some consumers to purchase their first mobile PC.
The computer market in Latin America grew 19.6 percent within the third quarter of 2011. Mobile PC shipments grew 31.1 percent year over year, and desk-based PC shipments increased 6.5 percent within the third quarter of 2011.
PC shipments in Japan grew 3 percent, with shipments reaching 3.9 million units. The patron market received a lift sought after with the introduction by vendors of recent consumer models in September. There has been also a rebound in production for the pro market, after a drop in enterprise demand a result of higher prioritization for business continuity plans that coincided with the earthquake and tsunami in March.
These results are preliminary. Final statistics would be available soon to clients of Gartner’s PC Quarterly Statistics Worldwide by Region program. This program offers a comprehensive and timely picture of the global PC market, allowing product planning, distribution, marketing and sales organizations to maintain abreast of key issues and their future implications around the world. Additional research are available at the Computing Hardware section on Gartner’s website at http://www.gartner.com/it/products/research/asset_129157_2395.jsp .
12 Oct 2011
FRAMINGHAM, Mass., October 12, 2011 – Worldwide PC shipments increased by 3.6% within the third quarter of 2011 (3Q11) in comparison with a similar quarter in 2010, in keeping with the International Data Corporation (IDC) Worldwide Quarterly PC Tracker. The effects are up slightly from the two.7% growth experienced in 2Q11, and just under IDC’s August projections for 4.5% growth within the quarter. The Americas and EMEA were slightly under expectations while the Asia/Pacific markets were slightly ahead. The market continues to struggle as consumer discretionary income is diverted to other areas and business spending remains depressed in light of different priorities and a possible double-dip recession.
“For the instant, PCs have taken a backseat to a number other devices competing for shrinking consumer and business budgets,” said Jay Chou, senior research analyst with IDC’s Worldwide Quarterly PC Tracker. “While growth is predicted to remain in mid-single digits within the fourth quarter, we must always see faster growth in 2012 and beyond in response to easier comparisons and refreshed PC offerings because the industry better addresses the evolving usage models by integrating more of the features in ultra mobile devices.”
“Most vendors continue to struggle with the slow market environment and product changes,” said Loren Loverde, IDC vp of world Consumer Device Trackers. “Although we do not see media tablets and other devices replacing PCs, questions about how products will evolve, and consumer interest in these and other categories are providing a distraction. And while price remains critical, many users are delaying PC purchases for the instant. Still, there are opportunities, as demonstrated by Lenovo’s gains, and we think PCs in finding stronger demand within the coming years.”
“The U.S. market came in about flat as expected, but didn’t generate positive momentum given the state of saturation and shortage of incentives for consumers to upgrade. Other inhibitors included the poor economic environment and, to a undeniable extent, iPad cannibalization,” said David Daoud, IDC’s Personal Computing Research Director. “As we approach the vacation season, the chance for low single-digit growth is real, but mostly resulting from poor market conditions last year, in place of a recovery famous.”
Regional Outlook
The u. s. market came in roughly flat with year ago shipments because the consumer and commercial demand remained constrained. Nevertheless, the market moved out of negative growth and HP registered strong growth going into the vacation season.
Europe, Middle East, Africa (EMEA) performed in keeping with forecast because the PC market continued to shrink within the third quarter across both desktop and transportable form factors. The back-to-school season saw sustained weakness in consumer demand, with spending being diverted to media tablets and smartphones, while vendors and channel players remained concentrated on clearing consumer notebook inventory before taking new stock. Besides weak consumer trends, commercial demand has also bogged down, indicative of the increasing caution and postponed investments as a response to the present economic and monetary turmoil within the Euro-zone and the U.S.
Japan continued to look growth in low single-digits. Lenovo finalized its merger with NEC, leveraging its scale and becoming the clear market leader. Although power rationing affected some commercial purchases, the market mainly continued to determine more adoption of both consumer and business PCs.
Asia/Pacific excluding Japan (APeJ) had a sturdy quarter with double-digit growth, meeting expected volume. The region managed to regain momentum, reversing two previous quarters of only single digit growth as a result of gains in China and India, in addition to good volume in Indonesia and Thailand.
Vendor Outlook
HP grew 5.3% year on year, way to double-digit growth within the U.S. The corporate was criticized for management missteps prior to now few months, and been stricken by slower consumer demand in lots of regions, but managed to outpace overall market growth nonetheless.
Dell continued to make gains in APeJ and CEMA, but declines in additional mature regions pulled overall growth to –1.6% year on year. Dell faced tough competition and had sizable declines in some markets. However, its continued expansion efforts in China continued to pay dividends, maintaining double-digit growth in Asia/Pacific (excluding Japan).
Lenovo experienced strong gains across all regions because it continues its channel expansion and capitalizes on disarray one of several other top players. Lenovo has now outpaced the market by greater than 10% for the past 9 quarters, and by 20% or more in six of those periods. The consequences moved Lenovo earlier than Dell in 3Q11 after trailing by a small margin within the second quarter. Lenovo’s partnership with NEC and the purchase of Medion added incremental volume and provided new access to the Japanese and Western European markets.
Acer continued to struggle with inventory clearing and adjusting its strategy following declines in mini notebooks and its management shake-up. Total shipments were down 20.6% from a year ago – the fourth consecutive quarterly decline – but easier comparisons can help the corporate turn a corner in coming quarters.
ASUS had a sturdy quarter, boosting growth to over 30%. Strong gains in Asia/Pacific, in conjunction with improvements in EMEA, helped ASUS overtake Toshiba for the number 5 spot in worldwide shipments. While the seller has had some difficulties adjusting for the decline in mini notebook PCs, its mainstream notebooks have done well, especially in emerging markets.
Apple Total shipments increased greater than 20% in 3Q11, recovering from a dip to fifteen% growth within the second quarter but otherwise continuing a trend of greater than 2 years with over 20% growth. The MacBook Air continues to reinforce volumes, and Apple’s position in driving changes in consumer expectations for devices also positions it favorably relative to other players and tight consumer spending.
Table Notes:
Some IDC estimates earlier than financial earnings reports.
Shipments include shipments to distribution channels or end users. OEM sales are counted under the seller/brand under which they’re sold.
PCs include Desktops, Portables, Mini Notebooks and don’t include handhelds, x86 Servers and Media Tablets (i.e. iPad and Android-based Tablets). Data for all vendors are reported for calendar periods.
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