After Two Years of Steady Growth, PC Shipments Begin to Fall

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With the advancement of technology, personal computers such as desktops, notebooks, and workstations never seem to end. RatherInstead, it will undoubtedly increase over the years since most of the work has been transferred to these devices. Yes, mobile phones have made people’s lives easier by getting the job of a PC done, but it still doesn’t come near to the experience any personal computer provides.

Microsoft laptop devices for Windows 10 and 11
Source: Microsoft

But what if I tell you that the shipment of the PCs has been on a decline despite the increased usage? The idea may seem absurd, but it is accurate. According to preliminary results from the International Data Corporation (IDCWorldwide Quarterly Personal Computing Device Tracker, the global shipment of traditional PCs decreased by 5.1% in the first quarter of 2022 (Q1 2022).

While the first-quarter decline is indeed a change no one expected, it doesn’t mean the industry is going downhill. Despite these ongoing obstacles, 80.5 million PCs were shipped by the vendors during the quarter. The first quarter of 2022 (Q1 2022) volume secures the first spot as the seventh consecutive quarter where global shipments exceeded 80 million, which has not been seen since 2012.

Additionally, the group’s vice president with IDC’s Worldwide Mobile Device TrackersRyan Reith, said:

“The focus shouldn’t be on the year-over-year decline in PC volumes because that was to be expected. The focus should be on the PC industry managing to ship more than 80 million PCs at a time when logistics and supply chain are still a mess, accompanied by numerous geopolitical and pandemic-related challenges.” 

He further added:

“We have witnessed some slowdown in both the education and consumer markets, but all indicators show demand for commercial PCs remains very strong. We also believe that the consumer market will pick up again SHORTLY. The result of 1Q22 was PC shipment volumes that were near record levels for the first quarter.”

This means that the demand for PCs is increasing, and the market will show better results than would hopefully not be as disappointing as this one.

Top 5 Companies, Worldwide Traditional PC Shipments, Market Share, and Year-Over-Year Growth, Q1 2022 (Preliminary results, shipments are in thousands of units)
Company 1Q22 Shipments 1Q22 Market Share 1Q21 Shipments 1Q21 Market Share 1Q22/1Q21 Growth
1. Lenovo 18.3 22.7% 20.1 23.7% -9.2%
2. HP Inc. 15.8 19.7% 19.2 22.7% -17.8%
3. Dell Technologies 13.7 17.1% 12.9 15.3% 6.1%
4. Apple 7.2 8.9% 6.9 8.1% 4.3%
5T. ASUS* 5.5 6.9% 4.7 5.6% 17.7%
5T. Acer Group* 5.4 6.8% 5.8 6.8% -5.9%
Others 14.5 18.0% 15.1 17.8% -4.0%
Total 80.5 100.0% 84.8 100.0% -5.1%
Source: IDC Quarterly Personal Computing Device Tracker, April 11, 2022

 

In the rankings, the top vendors in the market have remained unchanged since the fourth quarter of 2021. Lenovo remained the leading company with a 22.7% market share. This is understandable because Lenovo announced a new ThinkPad, Idea Pad, and tablet devices earlier this year. This is followed by HP, Dell, and Apple, then Asus and Acer come in at the fifth position.

IDC Market share
Source: IDC

The research manager for IDC’s Quarterly PC Monitor TrackerJay Chou, said: “Even as parts of the market slow due to demand saturation and rising costs, we still see some silver linings in a market that has reached an inflection point towards a slower pace of growth.” He also added: “Aside from commercial spending on PCs, there are still emerging markets where demand had been neglected in the earlier periods of the pandemic, and higher-end consumer demand also has held up.”

The pandemic is sure to be blamed for the recent decline in the global shipment of PCs. However, we are already far out from the pandemic-infected era; therefore, the market’s future for these PCs appears to be bright.

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