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Gartner says PC Shipments Declined 12.3% in the First Quarter of 2020 Due to Coronavirus Pandemic

Gartner says PC Shipments Declined 12.3% in the First Quarter of 2020 Due to Coronavirus Pandemic

PC components Apr 14,2020 0

Worldwide PC shipments totaled 51.6 million units in the first quarter of 2020, a 12.3% decline from the first quarter of 2019, according to preliminary results by Gartner, Inc.

After three consecutive quarters of growth, the worldwide PC market experienced its sharpest decline since 2013 due to the COVID-19 outbreak.

“The single most significant influencing factor for PC shipment decline was the coronavirus outbreak, which resulted in disruptions to both the supply and demand of PCs,” said Mikako Kitagawa, research director at Gartner. “Following the first lockdown in China in late January, there was lower PC production volume in February that turned into logistics challenges.

“Once coronavirus-related lockdowns expanded to other regions, there were new, sudden pockets of PC demand for remote workers and online classrooms that PC manufacturers could not keep up with.

“This quarter’s vendor results underscore the growing economic uncertainties that are tightening PC spending, especially among small and midsize businesses. This uncertainty, coupled with the end of the Windows 10 upgrade peak, is causing enterprises to shift their IT budgets away from PCs and toward strategic business continuity planning. We will start seeing enterprises and consumers alike extending their PC life cycles on a more permanent basis as they focus on preserving cash,” said Ms. Kitagawa.

Despite the impact of COVID-19, the top three vendors’ market share remained unchanged from the previous quarter. They accounted for 65.6% of PC shipments in the first quarter of 2020, up from just over 60% in the first quarter of 2019.

Preliminary Worldwide PC Vendor Unit Shipment Estimates for 1Q20 (Thousands of Units)



Company

1Q20 Shipments

1Q20 Market Share (%)

1Q19 Shipments

1Q19 Market Share (%)

1Q20-1Q19 Growth (%)

Lenovo

12,613

24.4

13,026

22.1

-3.2

HP Inc.

11,114

21.5

12,648

21.5

-12.1

Dell

10,158

19.7

9,944

16.9

2.2

Apple

3,555

6.9

3,791

6.4

-6.2

Acer Group

2,900

5.6

3,322

5.6

-12.7

ASUS

2,603

5.0

3,526

6.0

   -26.2

Others

8,693

16.8

12,604

21.4

-31.0

Total

51,637

100.0

58,860

100.0

-12.3

Notes: Data includes desk-based PCs, notebook PCs and ultramobile premiums (such as Microsoft Surface), but not Chromebooks or iPads. All data is estimated based on a preliminary study. Final estimates will be subject to change. The statistics are based on shipments selling into channels. Numbers may not add up to totals shown due to rounding. Source: Gartner (April 2020)

Although Lenovo maintained its No. 1 position in the worldwide PC market, its shipments declined 3.2% in the first quarter of 2020 and 22.6% year over year in Asia Pacific.

HP Inc. had a challenging first quarter, with a 12.1% decline in PC shipments after three consecutive quarters of shipment growth. HP recorded double digit shipment declines in all key regions, taking the hardest hit in deskbased PCs in Asia Pacific and Japan.

Dell was the only top vendor that showed year over year shipment growth – rising 2.2% – despite the impact from COVID-19. Dell’s shipments grew in all regions in the first quarter of 2020, except in Asia Pacific. Growth was particularly strong in the Americas where Dell experienced relatively stable business PC demand until March. The first quarter of 2020 was the company’s ninth consecutive quarter of shipment growth.

Preliminary U.S. PC Vendor Unit Shipment Estimates for 1Q20 (Thousands of Units)



Company

1Q20 Shipments

1Q20 Market Share (%)

1Q19 Shipments

1Q19 Market Share (%)

1Q20-1Q19 Growth (%)

Dell

3,458

31.4

3,145

28.8

10.0

HP Inc.

2,735

24.8

3,177

29.1

-13.9

Lenovo

1,923

17.5

1,493

13.7

28.8

Apple

1,349

12.3

1,335

12.2

1.1

Microsoft

520

4.7

520

4.8

0.1

Acer Group

337

3.1

300

2.8

12.3

Others

688

6.2

951

8.7

-27.7

Total

11,011

100.0

10,921

100.0

0.8

Notes: Data includes desk-based PCs, notebook PCs and ultramobile premiums (such as Microsoft Surface), but not Chromebooks or iPads. All data is estimated based on a preliminary study. Final estimates will be subject to change. The statistics are based on shipments selling into channels. Numbers may not add up to totals shown due to rounding. Source: Gartner (April 2020)

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