Where’s the bottom? PC sales continue to plummet in 2016

By Brad Jones April 12, 2016

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One of the driving forces behind the development of Windows 10 has been an effort to deliver the OS to devices beyond the traditional PC market. It’s easy to understand why Microsoft would want to expand, even if the firm’s core audience was in rude health — but as it happens, there’s no shortage of evidence that PC sales growth is continuing to slide.

A new report from tech research firm Gartner suggests that times are tough for manufacturers that specialize in traditional PCs. Worldwide growth hit an all-time low in Q1 of 2016, with less than 65 million units shipping worldwide according to a report from WinBeta.

Chinese manufacturer Lenovo maintained its lead in terms of systems shipped. Its two greatest rivals, HP Inc. and Dell, took second and third place in the rankings respectively.

The fact that PCs are not being adopted, or retained, at the same rate they were in the past seems to suggest that many homes are now already outfitted with a computer, and updating that hardware isn’t a priority. However, the data also illustrates the way that the market continues to expand beyond its previous boundaries.

Gartner’s research covers desktop PCs, notebook PCs, and premium ultra-mobile devices like the MacBook Air — but that still doesn’t represent the breadth of computing as of 2016. The report states that hybrid devices have seen increased sales, albeit not enough to offset an overall decline. Smartphones and tablets are both outside the remit of this research, and have certainly eaten away at the appeal of a PC for many users.

Although the writing has been on the wall for some time, data like this confirms that the household PC is looking more and more like its high moment has passed. The devices we use and how we use them are changing, and now’s the time for tech companies to observe that shift and make plans for the future accordingly.

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Brad is an English-born writer currently splitting his time between Edinburgh and Pennsylvania. You can find him on Twitter…

Computing

Despite PC industry’s flat year-to-year growth, HP dominated first-quarter sales

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HP commanded the North American market in the first quarter of 2018 according to the latest report from International Data Corporation (IDC). The company seized 22.6 percent of the market followed by Lenovo at 20.4 percent, Dell at 16.9 percent, Acer at 6.8 percent, and Apple at 6.6 percent. Compared to the same quarter in 2018, HP grew 4.3 percent while Lenovo evened out and Dell grew 6.4 percent. Acer and Apple actually dropped 7.7 and 4.8 percent, respectively.
Overall, the PC market growth remained flat in the first quarter compared to the same period in 2017, with no rise or fall in shipments. The statistics include desktops, laptops, and workstations, which combined saw 60.4 million units sold globally in the first quarter of 2018. Market watchers previously predicted a 1.5 percent decline.
Driving the PC market is a demand for premium notebooks in the mainstream and commercial markets. Gaming systems are also part of the equation as hardware prices continue to drop to better address budget-oriented wallets without sacrificing performance. According to the report, an improved supply of "key components" brought prices down to help smaller vendors recover their share of their PC market.
"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 Jay Chou, research manager with IDC's Personal Computing Device Tracker. "However, the market is continuing on a resilient path that should see modest commercial momentum through 2020."
The report shows that in North America alone, 13.5 million units shipped during the first quarter. For the EMEA region (Europe, Middle East, Africa), the report doesn't state how many units actually shipped, but instead says the region's PC market showed stable growth. Notebooks maintained a growth trajectory due to increased mobile adoption and customer awareness while desktops experienced strong results thanks to a growing gaming community and long-awaited device refreshes.
In the Asia-Pacific region, the quarter ended on a different note. China's PC market performed lower than expected due to a "softer demand" and a fewer number of promotions. Japan fell below expectations as well stemming from a lackluster fourth quarter in 2017 but still managed to see some growth in 2018's first quarter. The report states that Japan's first three quarters of 2017 "affected future demand."
Just in the past few weeks, device makers have shown that the PC platform is far from dead, especially for gamers. HP's refreshed portfolio is the most recent, addressing mainstream gamers, general customers, and those looking for an alternative to Windows. Asus rolled out new and refreshed laptops under its Republic of Gamers brand while Samsung just debuted its Notebook Odyssey Z gaming laptop. Dell loves PC gamers, too, with four new G Series laptops.
"The year kicked off with optimism returning to the U.S. PC market, especially on the notebook side," said Neha Mahajan, senior research analyst, Devices and Displays. "The retail platform shows signs of stability especially with a fast-growing gaming community adding to the confidence."

Computing

Microsoft continues its assault on Chromebooks with affordable PCs

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Microsoft continues to attack the Chromebook market with new, upcoming Windows 10 PCs set for a reveal this week during the Bett Show 2018 convention. The starting price for this new batch will be a mere $189, perfect for schools and parents alike who need high-performance, mobile solutions for their students at an extremely affordable price. Even more, some of the notable features include touch-based input, Windows Ink support, and 3D content creation.
"Affordability is the top priority for many schools," the company said on Monday, January 22. "Shrinking budgets can lead schools to choose devices with a stripped-down experience and a limited lifespan, unfortunately costing more over time and offering less to students."
Here are the devices making their debut at the show:

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Computing

The best Surface Pro alternatives

These awesome 2-in-1s will make you ask why the Surface Pro is so expensive

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The Surface Pro has always been an ambitious device, but in the past couple iterations, it's really come into its own. It has beautiful design, powerful internals, and a great detachable keyboard. It's not perfect, though. First off, it's expensive. The Core m3 version starts at $800 -- and that's without the keyboard or stylus. Secondly, it has apretty old-school port selection, choosing not to opt for USB-C.

As is true with any groundbreaking product, there will always be a host of lookalikes that are worse in some ways and better in others. We're not even just talking about 2-in-1s here -- these are all laptops that explicitly have the same detachable keyboard design of the Surface Pro.