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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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RE: Newsflash
By bsd228 on 4/11/2013 3:01:56 PM , Rating: 2
No, Moto is correct. The greater majority of things people do with their computer are interactive in nature - read/write email, read a browser screen. The user is the limiting factor in speed - we can only read and type so fast...and computers caught up to that many many years ago. Only the gamers and hi def video watchers needed more, and we now have specialized chips as a norm for handling the video functions with minimal cpu.

This is the heart of why PC sales are declining. The only significant upgrade to the experience for most users in the past 5 years was the SSD.

There will always be users that need more - for gaming, for video editing, for photoshop type work, etc. But this is a much smaller population of people. Millions seem happy with their iphone pics, FFS. Tablets are now powerful enough to take care of their needs, at a much better form factor and battery endurance.

RE: Newsflash
By Mint on 4/16/2013 6:39:06 AM , Rating: 2
The funny thing is that while Moto is correct here, he refused to apply his very own insight towards the PC market and instead blames Windows 8.

The PC market was flooded with netbook sales for those who wanted a cheap computer for simple tasks. Those sales have now been displaced by tablets. Apple had no netbook bubble, and no Windows 8, yet they are still losing Mac sales.

Windows 8 has nothing to do with the decline of PC sales. It didn't resurrect them, but only a fool would have expected so anyway.

"Well, there may be a reason why they call them 'Mac' trucks! Windows machines will not be trucks." -- Microsoft CEO Steve Ballmer

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