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July 7, 2014

Dip in PC Market Slowing This Year: Analyst

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Tablets may be the new computer of choice, but PCs still have their place, according to a leading analyst firm.

Worldside shipments of PCs will dip this year as originally forecast, but not as badly as in 2013, Gartner said in its latest report.

PC shipments — which includes desktops, notebooks and premium ultramobile devices — will decline by 2.9 percent worldwide, a significant improvement from last year’s 9.5 percent decrease.

“2014 will be marked by a relative revival of the global PC market,” said Ranjit Atwal, research director at Gartner.

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The growth rate of tablet sales will slow as well this year to reach 256 million units as markets mature. There is a lower demand from users for tablets with smaller screens and the shift toward phablets in South-East Asia as well.

“The next wave of adoption will be driven by lower price points rather than superior functionality,” said Atwal.

Mobile phones sales are expected to reach 1.9 billion units this year, an increase of 3.1 percent increase from 2013. Sales of Smartphones in particular will continue to do well, making up about 88 percent of global mobile phone sales by 2018 — up from 66 percent in 2014.

When it comes to operating systems, Android and iOS continue to drive growth with a 30 percent and 15 percent increase, respectively.

“We expect the announcement of the new Apple iPhone 6 will attract pent-up demand for users who want a larger screen,” said Annette Zimmermann, research director at Gartner. “Windows phones will exhibit strong growth from a low base in 2014, and are projected to reach a 10 percent market share by 2018 — up from four percent in 2014.”

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