Dell continued to erode Compaq's European PC market lead during the third quarter of 1999, according to market analyst Dataquest.
Compaq's share of the European market fell 0.7 per cent to 16.1 per cent of shipments during the third quarter, echoing similar findings from rival analyst IDC. Compaq still holds 16 per cent of the European market by value, but it saw sales figures fall 10 per cent over the quarter.
Dell, however, has made significant inroads into the market over the past three months. Its market share, by unit shipments, has increased by 1.6 per cent to 9.7 per cent, while PC sales jumped 16 per cent. The direct vendor now holds 11 per cent of the European market by value.
Other winners in the third quarter were Fujitsu and Siemens, who as a joint venture now hold more than 12 per cent of the European market by value, greater than that held by Dell.
Howard Seabrook, vice president and service director of Dataquest, suggested Compaq is suffering because it is still heavily reliant on the large corporate market, which has slowed down due to spending freezes pending the turn of the millennium. Dell, on the other hand, operates mainly in the SME sector, which is still healthy.
Overall, PC shipments rose 24 per cent to 6.74 million units, but spending on PCs fell 1.4 per cent to $9.2bn. Shipments to corporates increased by 20 per cent to 4.9 million units, while value fell four per cent to $6.97bn. Home use increased with 1.8 million units shipped - 33 per cent more than the previous year. Sales value also increased 18 per cent to $2.27bn.
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