Traditional PC Shipments Continue to Grow Amid Global Economic Slowdown, According to IDC

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FRAMINGHAM, Mass.–(BUSINESS WIRE)–#IDCTracker–The second quarter of 2020 (2Q20) ended well for the Traditional PC market, comprised of desktops, notebooks, and workstations, with global shipments growing 11.2% year over year reaching a total of 72.3 million units, according to preliminary results from the International Data Corporation (IDC) Worldwide Quarterly Personal Computing Device Tracker. As restrictions around the world tightened in the first few weeks of the quarter, demand for notebooks continued to grow to maintain continuity of business and schooling for many communities.

Despite logistics issues early in the quarter, the cost and frequency of both air and sea freight inched closer to normal (i.e. pre-COVID levels). This, combined with PC production ramping up (and in some cases surpassing previous levels), meant that retailers and other distributors around the world had ample supply and were ready to fulfill the surge in demand.

“The strong demand driven by work-from-home as well as e-learning needs has surpassed previous expectations and has once again put the PC at the center of consumers’ tech portfolio,” said Jitesh Ubrani research manager for IDC’s Mobile Device Trackers. “What remains to be seen is if this demand and high level of usage continues during a recession and into the post-COVID world since budgets are shrinking while schools and workplaces reopen.”

“Early indicators suggest strong PC shipments for education, enterprise, and consumer, muted somewhat by frozen SMBs,” said Linn Huang, research vice president, Devices and Displays at IDC. “With inventory still back ordered, this goodwill will continue into July. However, as we head deeper into a global recession, the goodwill sentiment will increasingly sour.”

Regional Highlights

Asia/Pacific (excluding Japan) (APeJ) Traditional PC shipments came in above IDC’s expectations with the market registering slight growth compared with the same quarter a year ago. Following a weak first quarter of the year, which saw the industry impacted by factory closures in China and supply shortages, Q2 shipments saw a significant improvement, driven by inventory replenishment and strong sales of notebook PCs, fueled by increased demand due to work from home and e-learning.

Canada The Traditional PC market continued its growth streak by posting the 16th consecutive quarter of gains. Shipments in 2Q20 were the second highest total since 2012. The need for portable computing was highlighted by intense Chromebook demand from both consumers and institutions. The shift to online purchases increased the velocity of inventory reaching the end customer and is indicative of a healthy channel with low inventory levels. This will help to set up the second half of the year as the economy continues to reopen and restrictions are lifted.

Europe, Middle East, and Africa (EMEA) Traditional PC shipments exceeded already optimistic expectations, posting strong double-digit growth in 2Q20. As lockdowns entered full swing, recovery in the supply chain meant that the unprecedented pent up demand for mobile form factors, needed to facilitate working and studying from home, was able to be satisfied.

Japan The Traditional PC market declined in 2Q20 but achieved much better results than forecast in both consumer and commercial segments. The commercial segment was driven by work-from-home demand for notebook PCs and residual opportunities for Windows 10 migration while the consumer segment grew to address working and learning from home.

Latin America: Despite a decline of 4% year over year in the PC market, notebook shipments grew 10%, the best result in the last two years for this category. Mobility has become a priority in all countries of the region, which has caused a significant decrease in desktop devices. Remote work, home schooling, and entertainment have positively impacted the consumer and commercial laptop market.

United States Traditional PC shipments posted double-digit growth in the second quarter of 2020 compared to the same period a year ago. While the first quarter was record breaking for the lowest PC shipments seen in over a decade, the second quarter was record breaking for the opposite reason. With volumes expected to surpass 21 million units, the US has not seen such volume since the end of 2009. Inventory replenishment and record demand from stay-at-home orders can be attributed what is expected to be another record-breaking quarter.

Top 5 Companies, Worldwide Traditional PC Shipments, Market Share, and Year-Over-Year Growth, Q2 2020 (Preliminary results, shipments are in thousands of units)

Company

2Q20

Shipments

2Q20 Market

Share

2Q19

Shipments

2Q19 Market

Share

2Q20/1Q19

Growth

1. HP Inc.

18,082

25.0%

15,366

23.6%

17.7%

2. Lenovo

17,411

24.1%

16,214

24.9%

7.4%

3. Dell Technologies

12,010

16.6%

11,606

17.9%

3.5%

4. Apple

5,594

7.7%

4,112

6.3%

36.0%

5. Acer Group

4,828

6.7%

4,285

6.6%

12.7%

Others

14,337

19.8%

13,420

20.6%

6.8%

Total

72,261

100.0%

65,003

100.0%

11.2%

Source: IDC Quarterly Personal Computing Device Tracker, July 9, 2020

Notes:

  • Some IDC estimates prior to financial earnings reports. Data for all companies are reported for calendar periods.
  • Shipments include shipments to distribution channels or end users. OEM sales are counted under the company/brand under which they are sold.
  • Traditional PCs include Desktops, Notebooks, and Workstations and do not include Tablets or x86 Servers. Detachable Tablets and Slate Tablets are part of the Personal Computing Device Tracker but are not addressed in this press release.

In addition to the table above, a graphic illustrating the worldwide market share for the top 5 Traditional PC companies over the previous five quarters is available by viewing this press release on IDC.com.

IDC’s Worldwide Quarterly Personal Computing Device Tracker gathers detailed market data in over 90 countries. The research includes historical and forecast trend analysis among other data.

For more information, or to subscribe to the research, please contact Kathy Nagamine at 650-350-6423 or knagamine@idc.com.

About IDC Trackers

IDC Tracker products provide accurate and timely market size, company share, and forecasts for hundreds of technology markets from more than 100 countries around the globe. Using proprietary tools and research processes, IDC’s Trackers are updated on a semiannual, quarterly, and monthly basis. Tracker results are delivered to clients in user-friendly excel deliverables and on-line query tools.

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About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC’s analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a wholly-owned subsidiary of International Data Group (IDG), the world’s leading tech media, data and marketing services company. To learn more about IDC, please visit www.idc.com. Follow IDC on Twitter at @IDC and LinkedIn. Subscribe to the IDC Blog for industry news and insights: http://bit.ly/IDCBlog_Subscribe.

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Contacts

Jitesh Ubrani

jubrani@idc.com
416-873-0315

Jay Chou

jchou@idc.com
650-350-6464

Ryan Reith

rreith@idc.com
650-350-6242

Michael Shirer

press@idc.com
508-935-4200