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July 19, 2013

EMEA PC shipments drop 22.2% in Q2

The decline in shipments was due to high levels of inventory and slow consumer demand

By CBR Staff Writer

PC shipments in Europe, Middle East, and Africa (EMEA) reported a 22.2% decline to 19.6 million units during the second quarter of 2013, according to a report from the International Data Corporation (IDC).

According to the report, the portable PC shipments decreased 26% to 12.4 million units, while 7.2 million desktops were delivered during the second quarter, a 14.6% drop against the same period last year.

The decline in shipments was due to high levels of inventory and slow consumer demand in addition to the economic pressure on enterprises.

IDC EMEA Personal Computing research manager Chrystelle Labesque said that the second quarter continued to be impacted by large inventory in several countries.

"April and May were weak as expected as most vendors, retailers, and distributors focused on stock reduction, and while June was supported by starting replenishment ahead of the back to school and product transitions, the volume of new orders remained constrained as caution prevailed in particular in retail," Labesque said.

"The PC market is going through a major transition with evolving form factors and a larger product portfolio, but the expansion of the overall client device market continues to drive increasing consumer spending and will also support key opportunities for the industry in the commercial space."

During the second quarter, Western Europe PC shipments went down 21.2% year on year, while UK and Germany experienced 14% and 18.7% decline respectively.

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IDC EMEA Personal Computing senior research analyst Maciej Gornicki said that the evolution of form factors and the change in perception of mobile computing to always on and always connected devices, development of social networks and Internet infrastructure, are all changing consumer behaviour impacting the way PCs are utilised.

"While Windows-based hybrid devices, convertible or ultraslim notebooks with touch capabilities generate a clear interest, sales remain weak," Gornicki added.

"Price remains one of the main inhibitors, and adoption in the commercial space is also slow for cost reasons and due to longer decision-making processes.

"With more attractive pricing anticipated for the end of year holiday season, however, IDC expects stronger uptake in the Ultraslim Notebook category in 4Q and into 2014."

HP led the PC shipment market with 19% market share, followed by Lenovo with 13.4%, while Acer and Dell secured third and fourth positions with 11.5% and 10.7% market share respectively.

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