India’s PC shipments fall below 5 million for first time in four quarters: report | Job Binary

NEW DELHI : PC shipments in India grew 12% in the June quarter, although the number of units shipped during the quarter fell below the 5 million mark for the first time in four quarters, market researcher Canalys showed in its latest report released on Monday. A total of 4.6 million including laptops, desktops and tablets were shipped during the quarter.

At 2.6 million units, laptops accounted for less than half of PC shipments, but grew just 2% year-over-year (YoY) as demand in the consumer segment weakened due to the reopening of schools. Tablet shipments also grew a modest 9% to 1.1 million units for the year. By comparison, desktop shipments jumped an unprecedented 70% to 900,000 units during the quarter, according to the report.

The sharp decline in the consumer market ended seven consecutive quarters of record expansion, Canalys analyst Ashweej Aithal said.

Aithal said laptops accounted for 61% of the market in the June quarter last year. However, this year it has dropped to 48%. “Reduced demand for tablets and laptops contributed to the decline in the consumer market, with shipments of both categories down 23% and 11% respectively,” he added.

Meanwhile, the commercial segment grew by 50% year-on-year and now accounts for 52% of the total PC market. Aithal attributes this to the expansion of local manufacturing by computer vendors to qualify for government contracts for computers.

For example, HP expanded local notebook manufacturing, which has helped it acquire orders from the public sector. Acer has also partnered with contract manufacturer Dixon Technologies and Lenovo is strengthening its local supply of tablets and laptops with its third production line, Aithal said.

In terms of market share, HP was the top PC vendor with 25% of the market on the back of 1.1 million unit shipments. Analysts attributed HP’s dominance to “aggressive expansion of retail outlets” across the country.

Lenovo was once again the number two seller with 21.1% market share and 973,000 unit shipments. Dell, Acer and Samsung were the other three leading brands in the top five, with 11.5%, 11.3% and 5.8% of the market share, respectively.

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