WESTERN EUROPE: SUMMARY
Volume shipments of PCs grew by 21.7 per cent in the second quarter of 1999 to 6.1 million units compared with the same period a year ago, resulting from strong performances in most European countries.
High growth rates came from soaring demand from SMEs, fuelled by the year 2000 issue, and by specifically targeted products from most vendors. Lower-end expandable PC servers profited most from this evolution, as SMEs raised demand for stable network environments.
While unit shipments remained higher than expected for the third consecutive quarter, revenue was unsatisfactory due to low prices and tight margins.
Consumer demand, one of the strongest growth drivers during the past two quarters, eased off due to a decrease in special programmes and internet deals.
UK PC MARKET: SUMMARY
In terms of PC units shipped, Europe's three largest PC markets out-performed the high growth rates achieved last quarter. France remained the leader in terms of growth, achieving a year-on-year rate of 25.4 per cent, followed by Germany with 22.3 per cent and the UK with 21.5 per cent.
Unlike most other European countries, the UK saw a boom in the consumer market, helped by consumer PC sales through supermarkets.
Small businesses and corporates also helped to drive growth rates, which meant that the second quarter of 1999 was the first in four consecutive quarters where the UK growth rate out-performed European average growth.
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