MARKET WATCH - Compaq rules desktop area

Compaq comes out on top in UK and Germany in the period ended 31January, but loses to Seimens in France.

Compaq continued to hold the top market share position in the UK desktop sector in January with 41.6 per cent. The vendor's market share increased month-on-month by 3.5 per cent. Promotions across the majority of Deskpro EP models during this month helped Compaq widen the gap on its nearest rival IBM.

IBM witnessed a slight decrease in January compared with December last year. Its market share was 12.4 per cent in January, compared with 13.8 per cent in December 1998. This was due to the effect of seasonal sales.

Hewlett Packard sales decreased by 5.1 per cent in January.

FRANCE SUMMARY

Siemens showed a remarkable growth rate

in France, overtaking Compaq and gaining the first position in the business desktop sector. Its market share increased more than 12 per cent, bringing its total share to 25.4 per cent.

Compaq and Hewlett Packard also had a good January. Both vendors kept up a steady rate of growth month-on-month. The market share for both vendors in the month was 23.3 per cent and 20.4 per cent respectively.

Both IBM and ZDS experienced a drop in their market shares, showing a decrease of more than 8 per cent for IBM and 5 per cent for ZDS.

GERMANY SUMMARY

As in the UK, Compaq continued to hold the top position in terms of market share in the German desktop sector. However, in January, the vendor lost more than 3 per cent of market share to the benefit of IBM, which succeeded in narrowing the gap to Compaq by more than 50 per cent compared with last December.

Seimens lost market share in January, but with 13.7 per cent, it still achieved the second highest share during the past six months. Hewlett Packard came third with 12.8 per cent.