Research firm IDC has recently released its latest numbers on the state of the PC market, and it doesn’t look good for many of the major players in the industry. The overall global PC market saw its shipment volume fall by 7.3% year-over-year to 60 million units, while vendor revenue fell by 3% to $76 billion over the same period.
According to data from the International Data Corporation released on Monday, the third quarter saw shipments in the personal computer industry continue to decline as demand decreased and supply chain problems continued.
Shipments were down 15% from this time last year, although they are still much higher than pre-pandemic levels, according to IDC. Global shipments decreased from 87.3 million over the same time previous year to 74.3 million in the quarter.
Shipments of personal computers fell by roughly 28% at HP, 21% at Dell, and 16% at Lenovo. The third quarter saw a 40% increase in PC shipments for Apple, which defied the trend.
When AMD lowered its sales projection for the third quarter on Thursday, blaming a more significant decrease in the PC market and supply chain concerns, it provided a hint at this headwind from the previous week.
When Microsoft and Intel release its third quarter earnings later this month, investors will probably be keeping an eye out for any indications of a decline in PC shipping volume. While Intel will report on October 27, Microsoft is scheduled to announce data on October 25.
PC slowdown is affecting semiconductor companies like AMD, according to Vivek Arya of BofA.
When iPad demand surged after it was launched in 2010, HP and Dell were forced to lower their prices. This time around, HP is also seeing increased competition from companies making PCs that run Google’s Android operating system. While Chromebooks only captured a small portion of sales overall last year at just 2%, they’re expected to get as much as 20% of PC market share by 2017.