COVID-19 causes global decline in PC shipments

April 14, 2020 4:14 pm6 comments
Lenovo

Lenovo

by MTHULISI SIBANDA
JOHANNESBURG – THE worldwide computer market has experienced its sharpest decline since 2013 due to the coronavirus (COVID-19) outbreak.

This is a drop from three consecutive quarters of growth until the current quarter of the year.

According to Gartner, worldwide personal computer (PC) shipments totalled 51,6 million units in the first quarter of 2020, a 12,3 percent decline from the first quarter of 2019.

“The single most significant influencing factor for PC shipment decline was the coronavirus outbreak, which resulted in disruptions to both the supply and demand of PCs,” said Mikako Kitagawa, research director at Gartner.

She said following the first lockdown in China in late January, there was lower PC production volume in February that turned into logistics challenges.

“This quarter’s vendor results underscore the growing economic uncertainties that are tightening PC spending, especially among small and midsize businesses,” Kitagawa said.

This uncertainty, coupled with the end of the Windows 10 upgrade peak, is causing businesses to shift their IT budgets away from PCs and toward strategic business continuity planning.

“We will start seeing businesses and consumers alike extending their PC life cycles on a more permanent basis as they focus on preserving cash,” Kitagawa said.

Although Lenovo maintained its leading position in the worldwide PC market, its shipments declined 3,2 percent in the first quarter of 2020.

HP Inc. had a challenging first quarter, with a 12,1 percent decline in shipments after three consecutive quarters of shipment growth.

Dell was the only top vendor that showed year over year shipment growth – rising 2,2 percent.

– CAJ News

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