Retail in Asia

In Trends

PC shipments fell a record 14pc in Q1

Worldwide PC shipments plunged by a record 13.9 percent year-on-year to a total of 76.3 million in the first quarter, according to IDC.

The research firm reported that this was worse than the forecast decline of 7.7 percent and also the worst since IDC began tracking the PC market quarterly in 1994.

First-quarter results also marked the fourth consecutive quarter of declining shipment volumes.

In Asia-Pacific (excluding Japan), PC shipments also dropped by a record 12.7 percent, the first time the region has experienced a double-digit decline. China’s inactivity contributed heavily to the decline, as public sector spending continued to be constrained.

Despite some mild improvement in the economic environment and some new PC models offering Windows 8, global PC shipments were down significantly across all regions compared to a year ago, IDC said.

Fading Mini Notebook shipments have taken a big chunk out of the low-end market while tablets and smartphones continue to divert consumer spending.

Also, traditional barriers of price and component supply, as well as a weak reception for Windows 8 have hampered PC industry efforts to offer touch capabilities and ultraslim systems.

The impact of slow demand has been magnified by the restructuring and reorganizing efforts impacting HP and Dell. Among the most vulnerable group of vendors are the whitebox system builders, which are undergoing consolidation that is affecting shipments as well as the distribution sector.

"Although the reduction in shipments was not a surprise, the magnitude of the contraction is both surprising and worrisome," said David Daoud, IDC research director for personal computing.