Windows 10 to weigh down PC market

PC market to stabilise once free upgrade of Windows 10 comes to an end, IDC says

The free upgrade model of Windows 10 is set to drag the PC market down for the next two years, according to IDC, which said the market will stabilise only once the upgrade offer ends.

The analyst said the arrival of the new OS is one of the reasons the global PC market will fall by 8.7 per cent annually this year. Growth will resume in 2017, led by commercial demand, when the free upgrade offer is over.

Economic problems, a dearth of newer PC models in the near future and reluctance among the channel to take new stock will also fuel the PC market decline this year, IDC said.

But in the tablet market, it is a different story for Windows 10.

Although the global tablet market will decline annually by eight per cent in 2015 – far below IDC's initial estimate of a 3.8 per cent decline over the same period – Windows 10 will act as a silver lining.

The two-in-one tablet market is "starting to gain traction", IDC said, adding that it will be a bright spot for the tablet space, partly thanks to the new OS.

"In the past, the biggest challenges with two-in-one devices were high price points, less-than-appealing designs, and, quite frankly, lack of demand for Windows 8, which was the OS most devices were running," said Ryan Reith, programme director with IDC's Worldwide Quarterly Mobile Phone Tracker. "With more OEMs offering devices in this segment, prices have started to come down significantly.

"We estimate that over 40 different vendors shipped two-in-one products in the second quarter of 2015, which is up from just 14 vendors two years ago. With the launch of Windows 10, the introduction of more Android-based products, and the possibility that Apple will unveil a larger, screen-detachable iPad, this is the space to watch."