Gartner says global PC shipments experienced the sharpest decline in nine years in the second quarter of 2022 | Biden News

Worldwide PC shipments totaled 72 million units in the second quarter of 2022, a 12.6% decrease from the second quarter of 2021, according to preliminary results from Gartner, Inc. This is the sharpest decline in nine years for the global computer market, caused. by geopolitical, economic and supply chain challenges affecting all regional markets.

“The decline we saw in the first quarter of 2022 accelerated in the second quarter, driven by the continued geopolitical instability caused by the Russian Invasion of Ukraine, inflationary pressure on spending and a steep decline in demand for Chromebooks,” said Mikako Kitagawa. , research director at Gartner. “Supply chain disruptions also continued, but the main cause of PC delivery delays shifted from component shortages to logistics disruptions. Enterprise buyers continued to experience longer than usual PC delivery times, but lead times began to improve by the end of the second quarter, in part because key cities in China reopened in the middle of the quarter.

“To maintain profits as inflation drives up costs, the PC industry must raise average selling prices (ASP) despite weakening demand. The reduction in the mix of Chromebooks, which tend to have low price points, and a shift to premium products also helped increase the average ASP. However, an increase in inventory, especially in the consumer channel, could cause ASP to decline as sellers will try to lower inventory.”

The top three vendors in the global PC market experienced a decline in PC shipments in the second quarter of 2022, but their ranking remained unchanged. The combination of HP declining 27.5% and Dell declining 5.2% allowed Dell to move to within 0.3 percentage points of HP in market share. Apple was the only vendor to experience growth in the second quarter of 2022, driven by the popularity of the M1 device (see Table 1).

Table 1. Preliminary Worldwide PC Vendor Unit Shipment Estimates for 2Q22 (Thousands of Units)

Notes: Data includes desktops, laptops, ultra-mobile premiums (like Microsoft Surface) and Chromebooks, but not iPads. All data are estimated based on a preliminary study. Final ratings will be modified. The statistics are based on consignments sold in channels. Figures may not add up to totals shown due to rounding.
Source: Gartner (July 2022)

Lenovo’s global PC shipments fell year over year, the third consecutive quarter of decline for the company. However, Lenovo grew 2% in the global PC market, partly because the company improved its supply chain in EMEA. HP experienced a 27.5% decline in the second quarter of 2022, mainly due to a steep decline in Chromebooks shipments.

Dell’s shipments declined year-over-year for the first time since the third quarter of 2020. Shipments declined across all key regions except Latin America where Dell recorded a 6.5% increase. Despite the overall decline in shipments, Dell’s market share increased by 1 percentage point compared to a year ago.

Regional Overview

The US PC market declined by 17.5% in the second quarter of 2022. Although the market experienced shipment growth in both desktops and laptops (excluding Chromebooks), this growth was offset by a 50% year-over-year decline in Chromebooks consignments

Dell secured the top spot in the US PC market based on shipments with a 27.2% market share. Despite a decrease of 43.5%, HP took the number 2 position with 22.3% market share (see Table 2).

Table 2. Advance US Vendor Unit Shipment Estimates for 2Q22 (Thousands of Units)

Notes: Data includes desktops, laptops, ultra-mobile premiums (like Microsoft Surface) and Chromebooks, but not iPads. All data are estimated based on a preliminary study. Final ratings will be modified. The statistics are based on consignments sold in channels. Figures may not add up to totals shown due to rounding.
Source: Gartner (July 2022)

The EMEA PC market was the most affected in the second quarter of 2022 with a decrease of 18% in PC shipments, reaching only 17.8 million units. “This is a significant setback in total volume after two years of very strong growth spurred by COVID-19 and a refreshing interest in PCs among consumers and the education segment,” Kitagawa said. “Abandonment or complete abandonment of operations in Russia due to war in Ukraine has had an even greater impact on the PC market, as Russian PC shipments for major PC vendors used to contribute between 5-10% EMEA’s total PC volume.”

EMEA also experienced a 20% decline in laptop shipments, while Chromebook shipments fell more than 50% year over year. This is the result of overall sluggish consumer demand across many countries in EMEA, struggling with price increases across many products, particularly fuel and energy. A very high level of inflation will negatively affect consumer purchasing power in the second half of 2022 and possibly in the first half of 2023.

The APAC PC market (excluding Japan) declined by 5.2% in the second quarter of 2022, driven by a 16% decline in the Chinese PC market. China’s zero-sum policy on COVID-19 has dramatically impacted the economy with a lockdown in Shanghai stopping carriers and logistics and any online ordering and delivery in Shanghai for the time being.

The Japanese computer market decreased 10.8% in the second quarter of 2022. The decline was partly affected by the steep depreciation of the Japanese Yen. Computer prices have risen steadily as a reflection of the weak currency. Other influencing factors included rising fuel costs and a temporary effect of the Chinese blockade, putting a strain on IT spending in general.

These results are preliminary. Final statistics will be available soon to customers of Gartner’s PC Quarterly Statistics Worldwide by Region program. This program offers a comprehensive and timely picture of the global computer market, allowing organizations in product planning, distribution, marketing and sales to stay abreast of key issues and their future implications around the world.

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