PC sales suffer world depression

The worldwide PC market is slowing down, according to figures from research firms Dataquest and IDC.

Growth in shipments in 1996 was markedly lower than in the year before, although the US market experienced stronger growth in Q4 than the rest of the world.

IDC reported that the market grew by 16 per cent for the full year, representing 68.4 million units. This compares with an average growth of the PC market of 21 per cent in the years 1991 to 1995.

Last year was the first year since 1991 that the market failed to grow by more than 20 per cent, according to IDC.

Figures from Dataquest indicate a growth rate of 17.7 per cent, or 70.9 million units, for the year. Analysts blamed the slowdown on worse-than-expected sales in the home PC market.

Apple and Packard Bell-NEC suffered the greatest decline in sales growth as a result of this. Compaq, IBM and Dell all had good years because of strong sales into corporates.

The German economy was highlighted by IDC as a weak spot in the European PC market. Germany represents the third largest PC market in the world and sales fell in 1996, year-on-year.

By comparison, India?s PC market grew 54 per cent in the fourth quarter last year.