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January 15, 2013

Tablets Responsible for Slow in PC Sales

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A 4.9 percent decline in global PC sales during the fourth quarter of 2012 can be blamed on one thing: the growing popularity of tablets, a new report has found.

Worldwide PC sales dipped significantly from the fourth quarter in 2011 to the fourth quarter of last year, according to a report by Gartner, Inc. Analysts. In 2012, 90.3 million units were shipped.

“Tablets have dramatically changed the device landscape for PCs, not so much by ‘cannibalizing’ PC sales, but by causing PC users to shift consumption to tablets rather than replacing older PCs,” Mikako Kitagawa, principal analyst at Gartner, said in a press release.

Consumers are increasingly shifting to tablets for personal use and are performing creative and administrative tasks on a shared PC, the Gartner report said, adding it is unlikely buyers will replace older secondary PCs in their homes.

“This transformation was triggered by the availability of compelling low-cost tablets in 2012, and will continue until the installed base of PCs declines to accommodate tablets as the primary consumption device,” Kitagawa said. “On the positive side for vendors, the disenfranchised PCs are those with lighter configurations, which mean that we should see an increase in PC average selling prices (ASPs) as users replace machines used for richer applications, rather than for consumption.”

Tablets and Smartphones have also usurped PCs as the technological Christmas gifts of choice. And while there was uptake of affordably-priced notebooks as a part of mega holiday deals, it did  little to boost holiday PC sales, analysts said.

The launch of Microsoft’s Windows 8 also has had little impact on PC shipments thus far.

“PC vendors offered somewhat lackluster form factors in their Windows 8 offerings and missed the excitement of touch,” the press release said. “New products are coming to market, and this could drive churn within the installed base.”

HP regained the top spot in global PC shipments in the fourth quarter of 2012, but the company’s shipments did not grow compared to 2011. Lenovo dropped to the No. 2 position, but experienced the best growth rate (8.2 percent) among the top five PC vendors worldwide.

Preliminary Worldwide PC Vendor Unit Shipment Estimates for 4Q12 (Units)

Company

4Q12 Shipments

4Q12 Market Share (%)

4Q11 Shipments

4Q11 Market Share (%)

4Q12-4Q11 Growth (%)

HP

14,645,041

16.2

14,711,280

15.5

-0.5

Lenovo

13,976,668

15.5

12,915,766

13.6

8.2

Dell

9,206,391

10.2

11,633,387

12.2

-20.9

Acer Group

8,622,701

9.5

9,690,624

10.2

-11.0

ASUS

6,528,228

7.2

6,133,042

6.5

6.4

Others

37,393,913

41.4

39,934,184

42.0

-6.4

Total

90,372,942

100.0

95,018,284

100.0

-4.9

PC shipments reached 352.7 million units last year, a 3.5 percent decline from 2011 (as seen below). HP retained the top spot in the global PC market, accounting for 16 percent of the market. Lenovo was the No. 2 vendor with 14.8 percent market share while Asus showed the strongest growth among the top five vendors, with shipments increasing 17.1 percent.

Preliminary Worldwide PC Vendor Unit Shipment Estimates for 2012 (Units)

Company

2012 Shipments

2012 Market Share (%)

2011 Shipments

2011 Market Share (%)

2012-2011 Growth (%)

HP

56,508,218

16.0

60,553,740

16.6

-6.7

Lenovo

52,159,229

14.8

45,688,493

12.5

14.2

Dell

37,611,747

10.7

42,864,265

11.7

-12.3

Acer Group

36,661,066

10.4

39,282,791

10.8

-6.7

ASUS

24,206,696

6.9

20,678,302

5.7

17.1

Others

145,554,478

41.3

156,278,584

42.8

-6.9

Total

352,701,433

100.0

365,364,175

100.0

-3.5

 

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