Lenovo overtakes HP in PC sales as market contracts

Lenovo overtakes HP in PC sales as market contracts

Preliminary results for the fourth quarter of 2018 (4Q18) showed shipments of traditional PCs (desktop, notebook, and workstation) totaled just over 68.1 million units, marking a decline of 3.7% in year-on-year terms, according to the International Data Corporation (IDC) Worldwide Quarterly Personal Computing Device Tracker. As a result of the CPU bottleneck, the provider would not be able to meet the rise in demand, especially in the case of enterprise customers in many ways, said Gartner analyst Mikako Kitagawa.

"The fourth quarter is typically oriented toward consumer promotions that help drive the industry's biggest quarter of the year, but the confluence of events in 2018 led to the lowest sequential growth for a holiday quarter since the fourth quarter of 2012", explained IDC.

Demand could, Kitagawa said, be pushed forward into 2019 "if CPU availability improves".

The 4th quarter of 2018 was particularly weak compared to previous years, declining by 4.3% year on year to 68.6 million unit sales.

"Political and economic uncertainties in some countries dampened PC demand", Ms. Kitagawa said. The top 3 vendors boosted their share of the global PC market, together accounting for 63 percent of shipments, from 59 percent the year before. "Holiday sales are no longer a major factor driving consumer demand for PCs". The report was published by Gartner earlier today which noted a significant drop in the shipments.

This was due to a strong quarter in the USA for Lenovo, whereas HP suffered declines in shipments in most key regions - with Asia being the notable exception. However, the results also "produced the largest year-on-year decline since the 3Q16 and capped the full year at a almost flat rate of -0.4 percent", Newsbytes reported. For the full year, sales were down 0.4 percent. "The market stabilization in 2018 was attributed to consistent business PC growth, driven by Windows 10 upgrade". -China trade relations and the volatile equity market. Dell, in contrast, had the strongest year-over-year growth among the top five OEMs with a 1.6 percent increase in quarterly shipments. Lastly, Apple retained the same fourth position with year-on-year growth of -3.8 percent, and Acer obtained the fifth position.