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Google's Chromebook, however, manages to stay on top of its game

PC shipments have taken a hard hit since the advent of mobile electronics like tablets and smartphones, and while second quarter PC shipments show no different, some are managing to see some good in a bad situation -- like Lenovo, which managed to surpass Hewlett-Packard (HP) as the top PC vendor. 

According to a new Gartner report, worldwide PC shipments dropped 10.9 percent in Q2 2013 to 76 million units from the year-ago quarter. This represents the fifth consecutive quarter of decreased shipments. 

“We are seeing the PC market reduction directly tied to the shrinking installed base of PCs, as inexpensive tablets displace the low-end machines used primarily for consumption in mature and developed markets,” said Mikako Kitagawa, principal analyst at Gartner. “In emerging markets, inexpensive tablets have become the first computing device for many people, who at best are deferring the purchase of a PC. This is also accounting for the collapse of the mini notebook market.”

Back in April, it was reported that PC industry sales had dropped nearly 14 percent in Q1 2013. 

However, Lenovo seems to be picking up in PC shipments. Gartner found that Lenovo passed HP as the top worldwide PC vendor for Q2 2013 with 12,677,265 shipments. HP came in second place with 12,402,887 for the quarter. 

But if you look at just U.S. shipments alone, HP is still on top with 3,957,761 Q2 shipments while Lenovo came in fourth place with 1,515,562 quarterly shipments. Dell came in second while Apple came in third. 

Despite the 10.9 percent decrease in PC shipments, there's one machine that seems to disregard the dwindling conditions of the PC market -- Google's Chromebook

According to NPD Group Inc., the Chromebook has gained 20 to 25 percent of the U.S. market for laptops under $300 in just the past eight months. The PC seems to be snagging market share and sales while the rest of the market is slumping. 

Chromebooks were introduced in June 2011 and treated like a stripped-down machine with limited abilities. They run the Google Chrome OS and use Web-based applications rather than traditional desktop applications that stay on the machine. 

There are a few different models made by Samsung, Acer, HP and Google (Chromebook Pixel). They start at $199 USD. 

Sources: Gartner, IDC, Bloomberg

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By datdamonfoo on 7/11/2013 11:24:30 AM , Rating: 2
From the Gartner source article:
“While Windows 8 has been blamed by some as the reason for the PC market’s decline, we believe this is unfounded as it does not explain the sustained decline in PC shipments, nor does it explain Apple’s market performance,” Ms. Kitagawa said.

Finally, that statement was missing the last time the PC shipment decline was reported. Every PC brand is suffering, except Lenovo.

RE: Finally
By Mitch101 on 7/11/2013 11:33:23 AM , Rating: 2
Lenovo has really upped their game I bought a laptop at the Lenovo outlet and they took very good care of me when it arrived without the battery. I wont say how good because there are scammers who will abuse the system but it was on a scale better then Newegg customer service. One of the best experiences Ive ever had with a vendor. Its customer service that makes Lenovo products that much better. Lenovo Reliability has increased dramatically too someone is over there is really upping their game.

Now is the time to do it Dell is lost and HP is spiraling out of control. Internal people at HP seem very unhappy I know quite a few. Unhappy people means poor products. Lenovo keeps it up they will really dominate the market.

RE: Finally
By freedom4556 on 7/11/2013 6:38:41 PM , Rating: 2
HP just fired the entire staff of their last American call center. Last week. All 500 people fired with no notice. The building only opened three years ago. I knew someone who was affected in those layoffs.

RE: Finally
By Tony Swash on 7/11/13, Rating: 0
RE: Finally
By xti on 7/11/2013 12:45:16 PM , Rating: 1
chromebooks increasing 25% in a category of laptops that only surf/email/youtube shouldnt be that surprising.

it isnt saying that there is a 25% increase of chromebooks across the entire notebook sector. its goign to be just as niche as the high end.

RE: Finally
By Ammohunt on 7/11/2013 1:04:05 PM , Rating: 1
I think most of the PC sales stats are total bunk. I would like to see how many whitebox PC's are being built. People are tired of bloated crap PC's that the big retailers push and from what i have seen people now turn to building it themselves or have it built for them. I myself have built 4 custom gaming rigs for friends and family in just the last 6 months from parts ordered from newegg with Windows 7 as the OS of course.

RE: Finally
By TakinYourPoints on 7/11/2013 7:03:22 PM , Rating: 3
The DIY segment is a smaller subset of OEM sales. I don't think it has much of an impact.

The main problem is that performance became "good enough" years ago. After almost four years I upgraded by PC from a Nehalem CPU to a Haswell. Maybe its also because I've been on an SSD for that entire time, but the upgrade in performance isn't anything close to what you used to get with a 18-24 month upgrade cycle. Its an upgrade but it isn't massive. I mostly did it because not upgrading my gaming PC for almost four years felt weird. :)

Most people I play games with are on Nehalem or Sandy Bridge CPUs (the i7 2500 has insane legs) and have no reason to upgrade.

Now, take the gamer/enthusiast out of the mix and look at the mainstream. Performance has been "good enough" for an even longer period of time. Why upgrade from a good 2008/2009 PC when it doesn't really yield any benefits? Most people can basically hang onto their computers until they fail.

Now the main reason people get new machines have to do with portability and not being tethered to a desk. This is why laptop and tablet sales are where growth is. The thing is that even laptops hit the "good enough" wall in 2011. You'll be seeing some Haswell upgrades due to things like 12+ hours battery life in the Macbook Air, but people are still very likely to hang on to what they have because it totally works.

This leaves inexpensive and very portable tablets with all-day battery life that do what the most people already use their desktops for: web, email, light apps.

It isn't because of Windows 8 or anything like that, its because desktops have been good enough for a long time. People are more willing to spend money on portables that do a most of what they need but allow them to do it away from their desk.

"A lot of people pay zero for the cellphone ... That's what it's worth." -- Apple Chief Operating Officer Timothy Cook

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