Tuesday, 24 March 2015

More bad news for the PC industry

The global sales of PCs are set to fall even further this year if reports from researcher IDC are accurate. They have forecast that the worldwide shipments will drop by 4.9% and will lose 6.9% in money from $201 billion. By 2019 the market is expected to fall to $175 billion. The future's not looking too bright.

There are numerous reasons why the PC market is declining so much. Tablets and smartphones have been pushing into the market for a while now. Microsoft have also stated that many smaller businesses are slow or reluctant to upgrade old PCs. There is a case of if 'it's not broke, why fix it?' mentality. Replacing an entire office with brand new PCs can certainly add up and many SMEs will have other needs for such a large amount of money.

Intel have also blamed their recent low Q1 forecasts partly on low PC sales, particularly low demand for business PCs. They also blame low inventory levels across the PC supply chain as well as tough currency translations and challenging economic conditions, particularly in Europe.

Both Intel and Microsoft have big launches out later in the year with Windows 10 and a new processor respectively and it is hoped that these will drive interest in PCs to avoid the downturn that has been predicted.

Unfortunately the industry will need more than a couple of flashy product launches to really begin picking up. Companies will need to investigate ways of getting people to upgrade and to get excited about PCs again. With the functionality of a PC in our pockets, but with added freedom and flexibility, it is easy to see why people are choosing the ease of smartphones and tablets over PCs. The challenge will be in getting us happy to be chained to a desk again - and that is a very difficult challenge indeed.

Cyclops Electronics will keep you up to date with all the latest industry news and top stories. Just subscribe to our blog or follow us on Twitter and LinkedIn.


No comments:

Post a Comment