Home >News >India >PC market declines 37% YoY despite record enterprise purchase in June quarter
Dealers offering laptops on lease are running out of stock, with some getting 1,000 requests from NCR. (Bloomberg)
Dealers offering laptops on lease are running out of stock, with some getting 1,000 requests from NCR. (Bloomberg)

PC market declines 37% YoY despite record enterprise purchase in June quarter

  • A total of 2.1 million PC units, which include laptops, desktops and workstations were shipped in the June quarter. At 46% decline, desktop PC was the most hit segment

NEW DELHI: PC market in India declined 37.3% year-on-year (YoY) even as remote working conditions led to a record purchase of notebooks by enterprises in the June quarter, according to International Data Corporation (IDC), India.

IDC has attributed the decline to an unfavorable YoY comparison with June quarter of 2019, when Lenovo sold 1.1 million PC units to Electronics Corporation of Tamil Nadu (ELCOT). Outside of this deal, the annual decline in the PC market last quarter was just 6.3%.

A total of 2.1 million PC units, which include laptops, desktops and workstations were shipped in the June quarter. At 46% decline, desktop PC was the most hit segment.

In comparison, the laptop segment grew on the back of large orders coming from IT companies, global enterprises, and consultancies. Many enterprises reduced desktop buying and replaced previous desktop orders with notebooks. As a result, notebook shipments grew 105.5% YoY in the June quarter. Procurement of notebooks by SMBs also grew 12.1% on year.

"Despite the supply and logistics challenges in the first half of the quarter, companies executed most of the large orders in 2Q20. Also, many companies shifted their employees to notebooks for the first time. This change is surely going to alter their procurement strategy in the long term with a mix of in-office and remote workforce becoming a reality for many organisations," Bharath Shenoy, market analyst, PC Devices, IDC India said in a statement.

IDC also found that demand from consumer segment remained weak in the June quarter and the market was largely driven by demand from e-learning. The overall consumer segment declined 21% YoY but recovered from the previous quarter’s low with 3.3% QoQ sequential growth in June quarter.

HP remained the market leader in India in the June quarter, accounting for 32.8% of the market and was the only brand with a positive annual growth rate in the commercial segment, growing at 11.8% YoY.

Among rivals, Lenovo moved up to second position in India on account of 31.6% YoY increase in shipments. Dell, which slipped to third place, witnessed a 21.8% YoY decline in shipments.

Asus held on to the fifth position, with an impressive 55.5% YoY growth in overall PC shipments, while Acer's overall shipments declined 34.7% YoY yet they retained the fourth position with 9.9% market share.

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Click here to read the Mint ePaperMint is now on Telegram. Join Mint channel in your Telegram and stay updated with the latest business news.

Close
×
My Reads Redeem a Gift Card Logout