PC shipments hit 15-year low

Reports from Gartner and IDC highlight sales decline

Worldwide PC shipments have decreased for the first time in 15 years, according to reports from analysts Gartner and IDC.

Gartner reported PC shipments for the second quarter 2001 of 30.4 million units, compared with 31 million last year, a decline of 1.9 per cent. IDC reported shipments for the quarter of 29.4m units, a two per cent fall.

However, IDC has predicted that the market will recover towards the end of the year, forecasting 5.2 per cent growth for the full year.

Both reports showed that direct manufacturer Dell was the only PC vendor to increase shipments over last year, with Compaq declining the most, followed by Hewlett Packard, IBM and Fujitsu Siemens.

Tony Fisher, sales director at reseller Deverill, said PC margin squeeze is forcing resellers to focus on other sectors.

"Compaq has recently said that people are shifting from a reliance on PC sales, and they are one of the biggest manufacturers. Resellers should take heed," he said. "We realised over a year ago that there was a commoditisation of laptops and desktops, and you can now buy them like takeaways."

Guy Wright, head of PC sales at reseller Repton Computers, said the company had been hit by the PC price war and lowered margins.

"It is becoming harder to make a sale because manufacturers are not worried about margins and are going out to secure a larger market share through reduced prices. It is all muddying the water," he said.

Katherine Paoli, Europe Middle East & Africa PC expertise centre manager at IDC, maintained that all hope is not lost. "Notebooks and wireless are key to the future of the PC industry," she said.