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NEEDHAM, Mass.–(BUSINESS WIRE)–#ASUS–Weak demand, excess inventory, and a worsening macroeconomic climate were all contributing factors for the precipitous drop in shipments of traditional PCs during the first quarter of 2023 (1Q23). Global shipments numbered 56.9 million, marking a contraction of 29.0% compared to the same quarter in 2022, according to preliminary results from the International Data Corporation (IDC) Worldwide Quarterly Personal Computing Device Tracker.
The preliminary results also represented a coda to the era of COVID-driven demand and at least a temporary return to pre-COVID patterns. Shipment volume in 1Q23 was noticeably lower than the 59.2 million units shipped in 1Q19 and 60.6 million in 1Q18.
“Though channel inventory has depleted in the last few months, it’s still well above the healthy four to six week range,” said Jitesh Ubrani, research manager for IDC’s Mobility and Consumer Device Trackers. “Even with heavy discounting, channels and PC makers can expect elevated inventory to persist into the middle of the year and potentially into the third quarter.”
The pause in growth and demand is also giving the supply chain some room to make changes as many factories begin to explore production options outside China. Meanwhile, PC makers are also rejigging their plans for the remainder of the year and have begun to pull in orders for Chromebooks due to an expected increase in licensing costs later this year. That said, PC shipments will likely suffer in the near term with a return to growth towards the end of the year with an expected improvement in the global economy and as the installed base begins to think about upgrading to Windows 11.
“By 2024, an aging installed base will start coming up for refresh,” said Linn Huang, research vice president, Devices and Displays at IDC. “If the economy is trending upwards by then, we expect significant market upside as consumers look to refresh, schools seek to replace worn down Chromebooks, and businesses move to Windows 11. If recession in key markets drags on into next year, recovery could be a slog.”
Top 5 Traditional PC Companies, Worldwide Shipments, Market Share, and Year-Over-Year Growth, Q1 2023 (Preliminary results, shipments are in millions of units) |
|||||
Company |
1Q23 Shipments |
1Q23 Market Share |
1Q22 Shipments |
1Q22 Market Share |
1Q23/1Q22 Growth |
1. Lenovo |
12.7 |
22.4% |
18.3 |
22.8% |
-30.3% |
2. HP Inc. |
12.0 |
21.1% |
15.8 |
19.7% |
-24.2% |
3. Dell Technologies |
9.5 |
16.7% |
13.7 |
17.1% |
-31.0% |
4. Apple |
4.1 |
7.2% |
6.9 |
8.6% |
-40.5% |
5. ASUS |
3.9 |
6.8% |
5.6 |
6.9% |
-30.3% |
Others |
14.7 |
25.9% |
19.9 |
24.8% |
-26.0% |
Total |
56.9 |
100.0% |
80.2 |
100.0% |
-29.0% |
Source: IDC Quarterly Personal Computing Device Tracker, April 9, 2023 |
Notes:
In addition to the table above, a graphic illustrating the worldwide market share of the top 5 Traditional PC companies over the previous five quarters is available by viewing this press release on IDC.com.
IDC’s Worldwide Quarterly Personal Computing Device Tracker gathers detailed market data in over 90 countries. The research includes historical and forecast trend analysis among other data.
For more information, or to subscribe to the research, please contact Jackie Kliem at 508-988-7984 or jkliem@idc.com.
About IDC Trackers
IDC Tracker products provide accurate and timely market size, company share, and forecasts for hundreds of technology markets from more than 100 countries around the globe. Using proprietary tools and research processes, IDC’s Trackers are updated on a semiannual, quarterly, and monthly basis. Tracker results are delivered to clients in user-friendly Excel deliverables and on-line query tools.
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About IDC
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,300 analysts worldwide, IDC offers global, regional, and local expertise on technology, IT benchmarking and sourcing, and industry opportunities and trends in over 110 countries. IDC’s analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a wholly owned subsidiary of International Data Group (IDG), the world’s leading tech media, data, and marketing services company. To learn more about IDC, please visit www.idc.com. Follow IDC on Twitter at @IDC and LinkedIn. Subscribe to the IDC Blog for industry news and insights.
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