Dell continues to lose ground in PC market

HP beat Dell to the number one spot in the PC market based on worldwide shipments for a second quarter, according to figures from Gartner released last week.

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By  Administrator Published  January 24, 2007

The tech giant finished 2006 tied with Dell for the title of world’s largest computer maker, the analyst firm said, with both companies shipping just over 38,000 units during the year.

Dell had led the market for the first two quarters, but its reliance on the slowing markets of Western Europe and the US hurt the vendor during the second half of the year, with HP overtaking it in Q3.

Dell lost further ground in Q4 as shipments decreased 8.7% on the year before, compared to a 23.9% rise in the number of units HP sold.

Gartner’s numbers show worldwide PC shipments in Q406 grew 7.4% compared to a year ago, with around 67.3 million units sold — for the whole of 2006 shipments increased 9.5% year-on-year.

Gartner said the overall PC market was impacted by stiff competition from consumer electronics products — such as games consoles and flat panel TVs — with PC makers also cutting prices to ensure market demand did not stall prior to Microsoft’s Vista consumer launch at the end of this month.

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