Dell recaptures leadership of global PC market

According to numbers from IDC, Dell has been able to regain the lead in total worldwide shipments during the first quarter of 2003.

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By  Greg Wilson Published  April 21, 2003

Dell has retaken the number one spot in the global PC market from HP. The two hardware titans have traded places since the merger of HP and Compaq last year. However, statistics from IDC indicate that Dell was able to regain the lead in total worldwide shipments during the first quarter of 2003.

In a market characterised by slow growth, Dell’s direct business model and steady growth boosted its shipments above HP’s.

“While results were close to forecast, consumer spending was relatively weak, and we have yet to see a significant rise in commercial activity,” says Loren Loverde, director of IDC's Worldwide Quarterly PC Tracker.

“A slow economy and talk of war reduced demand in the first quarter, but many expected to get back to business soon. Now, people are starting to realise that military victory in Iraq still leaves questions about global security and economic recovery, and it may be a while before growth picks up,” she adds.

According to IDC, worldwide PC shipments of 34.6 million were up 2.1% year on year, in line with forecast growth of 2%. In the US market, aggressive pricing and mobile adoption helped boost shipments, which grew by 1.5% year on year — almost 2% ahead of forecast.

Sequentially, shipments were down 9.8% worldwide and 7.0% in the US, following a typical seasonal pattern related to the shift from consumer to commercial focus during the first quarter of the year.

“The debut of Toshiba in the top 5 heralds the era of mobile computing,” comments Roger Kay, director of Client Computing at IDC.

“The rise of a company that focuses nearly exclusively on notebooks gives a clear and early reading of just how strong the shift from desktops to notebooks was this quarter — and will be from here on out. Although Toshiba benefited most visibly from this trend, other vendors signalled similar shifts in product mix,” he adds.

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