PCs Log Strong Rise In Orders -- WSJ
July 13 2018 - 3:02AM
Dow Jones News
By Maria Armental
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (July 13, 2018).
Personal-computer shipments in the second quarter had the
strongest showing in six years, driven by stronger demand from
business customers, according to preliminary data from two research
firms.
Based on Gartner Inc. data, it was the first year-to-year
increase since the first quarter of 2012. According to
International Data Corp. data, it was the strongest rate of growth
since that quarter.
While both firms track sell-in numbers -- units shipped to
companies' warehouses -- rather than direct sales to consumers,
much of the difference in their data comes from how each firm
defines PCs. Gartner excludes Chromebooks from calculations but
includes so-called ultramobile premiums, such as Microsoft Surface,
which IDC excludes.
While the latest report sends a positive sign to the industry,
Gartner stopped short of declaring a recovery for the PC
market.
Overall, Gartner said, preliminary data showed world-wide PC
shipments totaled 62.1 million units in the second quarter, up 1.4%
from the year earlier.
In the U.S., PC shipments totaled 14.5 million units, up 1.7%
from the year earlier, which Gartner said marked a return to growth
after six consecutive quarters of declines.
Similarly, IDC said world-wide shipments reached 62.3 million
units, beating the firm's forecast with a 2.7% increase from the
year earlier. According to its data, the traditional PC market
registered the second consecutive year-to-year increase in the U.S.
with 17.3 million total units.
"And with sentiment looking improved for the second half of the
year, the U.S. could deliver a strong market performance for the
year," said Neha Mahajan, an IDC senior research analyst.
Mikako Kitagawa, principal analyst at Gartner, said business
demand that fueled much of the growth "will weaken in two years
when the replacement peak for Windows 10 passes."
The consumer segment, Ms. Kitagawa said, remains challenged as
smartphones continue to gain ground in daily tasks from shopping to
using social media.
In the U.S., business PC demand was stronger in the public
sector, she said, noting the quarter is typically when government
and education clients buy PCs.
Gartner's data showed Lenovo Group Ltd. as the No. 1 world-wide
vendor, slightly ahead of HP Inc. by shipments though roughly equal
by market share.
Lenovo experienced its highest growth rate since the first
quarter of 2015, the firm said, and that company's results include
Fujitsu's units for the first time, reflecting the joint venture
that closed in May. Excluding Fujitsu shipments, it would have been
Lenovo's highest growth since the third quarter of 2014, Ms.
Kitagawa said.
Dell maintained its third spot, according to Gartner.
In the U.S., Gartner said HP held on to the No. 1 spot, despite
a slight market contraction.
IDC data, meanwhile, showed HP maintaining the top spot
world-wide, followed by Lenovo and Dell.
Write to Maria Armental at maria.armental@wsj.com
(END) Dow Jones Newswires
July 13, 2018 02:47 ET (06:47 GMT)
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