The PC industry is going through a tough time. Worldwide computer sales have suffered a 29% decline in the first quarter of this year, falling to 56.9 million units. It is the worst result in the last ten years in relation to this period of the year, with the exception of the first quarter of 2020, when sales fell to 54.5 million due to confinement at the beginning of the pandemic, according to data that the consulting company IDC has provided to La Vanguardia. “Consumer demand is weak. The sector has left behind the boom it experienced due to the pandemic and is returning to the behavior prior to the health crisis”, point out company sources. The results of the first quarter of 2021, when the industry recorded a record of 85 million units sold, or the figures of 2013, with 76 million computers sold, are a long way off.
“Consumer demand has slowed down, but we expect it to pick up again in the second half of this year and surpass pre-pandemic levels”, the director of the Chinese group assures this newspaper.
By brands, Lenovo has held on as the industry leader globally, despite suffering a 30% decline, as the chart shows. The most notable fall was witnessed by Apple (-40.5%), manufacturer of the iconic Mac, one of the highest-end computers that can be found on the market.
The technology industry, like other sectors, is also suffering from the demand crisis, caused by inflation and rising interest rates. In fact, the decline in PC sales began to decline in early 2022, with double-digit quarterly declines in all four periods; although it is also true that the industry started from the record results of 2021. It is a situation that is also experienced by the sister industry of the smartphone, which suffers in the same way from the unfavorable macroeconomic situation.
IDC points out that because of this situation, PC stock is building up beyond desired levels (four to six weeks to final sale), causing new PC output to slow. slow down and make the business less profitable. “Even with strong discount policies, manufacturers’ and distributors’ inventories will remain high in the second and third quarters of the year,” predicts Jitesh Ubrani, an analyst at IDC.
“In 2024 there will be more customers who will need a replacement, especially schools and companies that want to operate with Windows 11, although everything will depend on the macroeconomic evolution. If it goes up, the industry will grow, but if key markets are in recession then the recovery will be tougher”, says IDC.
