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Soft PC Shipments In 4Q12 Lead To Annual Decline
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  • Soft PC Shipments In 4Q12 Lead To Annual Decline

Soft PC Shipments In 4Q12 Lead To Annual Decline

FP Archives • February 2, 2017, 23:56:29 IST
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The lackluster fourth quarter results were not entirely surprising given the spate of challenges the PC market faced over the course of 2012.

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Soft PC Shipments In 4Q12 Lead To Annual Decline

Worldwide PC shipments totaled 89.8 million units in the fourth quarter of 2012 (4Q12), down 6.4 percent compared to the same quarter in 2011 and worse than the forecasted decline of 4.4 percent, according to the International Data Corporation (IDC) Worldwide Quarterly PC Tracker. Although the quarter marked the beginning of a new stage in the PC industry with the launch of Windows 8, its impact did not quickly change recently sluggish PC demand, and the PC market continued to take a back seat to competing devices and sustained economic woes. As a result, the fourth quarter of 2012 marked the first time in more than five years that the PC market has seen a year-on-year decline during the holiday season.

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The lackluster fourth quarter results were not entirely surprising given the spate of challenges the PC market faced over the course of 2012. IDC had expected the second half of 2012 to be difficult. Consumers as well as PC vendors and distribution channels continued to be diverted from PC sales by ongoing demand for tablets and smartphones. In addition, questions about the use of touch on Windows PCs vs tablets slowed commercial spending on PCs.

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“Although the third quarter was focused on the clearing of Windows 7 inventory, preliminary research indicates the clearance did not significantly boost the uptake of Windows 8 systems in Q4,” said Jay Chou, Senior Research Analyst with IDC’s Worldwide Quarterly PC Tracker. “Lost in the shuffle to promote a touch-centric PC, vendors have not forcefully stressed other features that promote a more secure, reliable and efficient user experience. As Windows 8 matures, and other corresponding variables such as Ultrabook pricing continue to drop, hopefully the PC market can see a reset in both messaging and demand in 2013.”

“As anticipated, the U.S. market had a rough ending, dropping 4.5 percent in the fourth quarter and contributing to a decline of 7 percent for the full year 2012,” said David Daoud, Research Director, IDC U.S. Quarterly PC Tracker. “Consumers expected all sorts of cool PCs with tablet and touch capabilities. Instead, they mostly saw traditional PCs that feature a new OS (Windows 8) optimised for touch and tablet with applications and hardware that are not yet able to fully utilise these capabilities. Despite a generally weak performance, some leading brands managed do to well relative to the market. HP, Lenovo, Asus, and Samsung were among the top performers, taking advantage of some consumer interest in Windows 8, and a push to build up their presence ahead of 2013.”

The Asia/Pacific region came in slightly below forecasts, as channels in most countries focused on clearing out existing Windows 7 inventory before bringing in fresh Windows 8 stock. China was not too far off target, though ongoing sluggishness in the economy as well as a slowdown in public sector projects kept the PC market there suppressed this quarter.

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