The PC sales are better than expected thanks to Dell


Stabilisation seemed to have come from continued build up in commercial renewal activity. The US market saw modest growth after six quarters of year-on-year declines and Japan continued with its seventh consecutive quarter of growth.

"The component shortage that initially impacted portions of 2017 led some vendors to stock up inventory to avoid expected component price hikes, and that led to some concerns of excess stock that would be hard to digest in subsequent quarters", said IDC research manager Jay Chou. Emerging markets were mixed, with Asia/Pacific (excluding Japan) (APeJ) shrinking and Latin America continuing its recovery from a tough 2017. IDC expects a likely rise in commercial activity amidst a positive economic environment to further strengthen demand. Going by IDC's numbers, HP shipped almost 13.7 million PCs in the first quarter, compared to 13.1 million in the same quarter a year ago, and has a 22.6 percent share of the market. The retail platform is also showing signs of stability, especially among the fast-growing gaming community. This was contrasted with a small decline in other regions.

IDC lauded this as a good thing, saying that staying flat for the third consecutive quarter is a better proposition than the 1.5 percent decline it had previously forecast.

Dell saw the greatest resurgence of all major vendors, boosting shipments by 6.4 percent in the quarter versus a year earlier.

Acer held onto the fourth position.

The US kicked off with optimism, especially for notebooks.

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Shipments of desktops, laptops, and workstation machines tallied in the tens of millions in the first quarter of 2018, though overall the market for new PCs was flat to start the year, according to the number crunching analysts at International Data Corporation. PC shipments were originally projected by IDC to decline 1.5% but the PC market has improved the sales.

HP is one other company to have a recorded a decent 4.3% YoY growth according to both IDC and Gartner.

The explosion of interest in smartphone and tablet technology, devices which are typically cheaper than a traditional PC and yet can handle the majority of mainstream computing requirements such as communication apps, web browsing, and casual gaming, was bad news for the traditional PC market.

The Japan commercial market was a couple points below expectations due to slowing of the momentum seen in 4Q17, but it still maintained healthy growth in 1Q18.

The top three vendors - HP, Lenovo and Dell - accounted for 56.9 per cent of the global PC shipments - compared with 54.5 per cent of shipments in the first quarter of 2017.