PC market continues to decline

Worldwide PC shipments continued to decline during the first quarter of 2002, according to IDC. Shipments were down 2.7% year on year and 8.9% sequentially to a total of 31.4 million units.

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By  Matthew Southwell Published  April 21, 2002

Worldwide PC shipments continued to decline during the first quarter of 2002, according to IDC. Shipments were down 2.7% year on year and 8.9% sequentially to a total of 31.4 million units.

However, the analyst house suggests that the industry is making a slow recovery as market growth was up relative to a projected decline of 5.4% year on year.

“The good news is that the market is no longer contracting rapidly, and the gains made in the fourth quarter have not evaporated,” says Loren Loverde, director of IDC’s worldwide quarterly PC tracker.

“Nevertheless, we have yet to see key segments return to significant growth. The year-on-year comparison was much easier this quarter but emerging markets are struggling to maintain positive growth, the commercial segment continues to invest cautiously, and consumers will not come back into the market in force until later in the year,” he adds.

Shipments in the United States were nearly on par with a year ago, as the market transitioned from decline to recovery. First quarter shipments were down 0.4% year on year, while a sequential decline of 6.1% was modest compared to the historical average of minus 10.4%.

“We’re in slack-water conditions,” says Roger Kay, director of client computing at IDC. ”That period between the tides when the sea is fully out but has not yet come back in. The good news is that the U.S. market has truly reached low tide and is turning around, albeit slowly.”

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