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IDC blames smartphones and tablets for sharp PC decline

Research firm IDC has posted the numbers for worldwide PC shipments in Q1 of 2013, and they show the steepest decline ever in a single quarter since the company has been monitoring the industry. Global PC shipments during Q1 of 2013 totaled 76.3 million units. That number represents a decline of 13.9% compared to the same quarter in 2011.

The posted decline in Q1 of 2013 was nearly twice the expected decline of 7.7% according to IDC. IDC also notes that the poor showing in Q1 marks the fourth consecutive quarter of year-over-year shipment declines for the industry. Computer shipments in the U.S. declined by 12.7% year-over-year and declined 18.3% compared to Q4 2012.
IDC says that despite mild improvement in economic environment around the world and some new PC models with Windows 8 shipments were down significantly across all regions compared to the same quarter of 2012.

Declining mini notebook shipments took a big chunk out of the low-end market with tablets and smartphones also contributing to divert significant spending from the computer industry. IDC also reports that weak reception for Windows 8 has hurt the industry and computer makers continue to struggle to differentiate themselves from others on the market.

"At this point, unfortunately, it seems clear that the Windows 8 launch not only failed to provide a positive boost to the PC market, but appears to have slowed the market," said Bob O'Donnell, IDC Program Vice President, Clients and Displays. "While some consumers appreciate the new form factors and touch capabilities of Windows 8, the radical changes to the UI, removal of the familiar Start button, and the costs associated with touch have made PCs a less attractive alternative to dedicated tablets and other competitive devices. Microsoft will have to make some very tough decisions moving forward if it wants to help reinvigorate the PC market."

HP is still the top computer vendor but its worldwide shipments fell more than 23% year-over-year. Lenovo remained in second place and came close to closing the gap between it and HP. Lenovo posted double-digit, year-over-year growth in the U.S.

Source: IDC

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By Mitch101 on 4/11/2013 11:44:56 AM , Rating: 2
Hmm did they over look a Down Economy and a lower than expected new job report?

Also there hasnt been any new CPU's and GPU's or even devices recently that I can think of that would give enough of a boost to consider upgrading anything.

Not sure about others but I wont buy another tablet until H.265 is supported in hardware otherwise Im fine with the tablet I have.

I also suspect people are not going as crazy for incremental hardware updates and have a feeling of being satisfied with what they currently have and Market Saturation is probably playing a role. Do they need another tablet, laptop, or desktop or is the existing one doing the job if not an SSD adds new life to an aging existing PC instead of upgrading anything else.

My 2 cents the tech sector seems boring right now.

By Belard on 4/11/2013 4:26:19 PM , Rating: 2
Windows7 market share actually went up over the same quarter.

People are still buying tablets and phones... they are not buying these crappy $300~400PCs (they are slower than the PC desktops/notebooks from 2 years ago).

By mindless1 on 4/12/2013 12:28:42 AM , Rating: 3
It's not that they're not buying because they're crappy, it's that the average person doesn't do HD video editing or play the latest 3D games. 5 year old $400 systems are more than enough to do Facebook, Twitter, and YouTube.

The average person today gets a new PC only when the cost to repair one they own that failed, exceeds the value of the system by quite a bit... usually by over twice what it is worth from what I've seen.

I don't put much stock in marketshare figures though, not with the most pirated OS on earth and techies generally giving Vista the thumbs down when they saw a chance to upgrade again and be rid of it.

By Belard on 4/12/2013 9:43:06 AM , Rating: 2
I agree with you 100%. I didnt properly separate two parts of my posts. The second part is that today's low end PCs are really bottom end nowadays. They make desktops that don't even have PCIe slots.

By Motoman on 4/12/2013 11:41:36 AM , Rating: 2
...and what is the average person going to put in a PCIe slot - that didn't already come as built-in to the PC?

99% of all people who buy a PC never open the case for any reason. Either something gets plugged into a USB port, or it doesn't happen.

"What would I do? I'd shut it down and give the money back to the shareholders." -- Michael Dell, after being asked what to do with Apple Computer in 1997

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