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PC sales are on the rise again

(Image credit: Image Credit: Netguru)

Despite the factors that should have resulted in a decrease in worldwide PC shipments, we’ve seen the exact opposite for the third quarter of 2019. This is according to a new report by Gartner, which says that there have been a total of 68 million units sold in this quarter, up from 67 million units in the same period last year.

That represents a growth of 1.1 per cent, which was fuelled mostly by Windows 10 and Japan.

Mikako Kitagawa, senior principal research analyst at Gartner, says that Japan has seen a 55 per cent growth for the quarter, driven mostly by the fact that there is a sales tax change pending. Pair that with a Windows 10 refresh cycle and you get growth.

“This strong growth helped propel the total worldwide PC market to growth,” she added.

But there have been factors which could have pushed the market in a negative direction. For one, there is the Intel CPU shortage. Even though it is easing up, it was still an important factor. However, alternative CPU vendors (mostly AMD and Qualcomm) jumped in to fill in the gaps.

Then, there is the US-China trade war and the impending tariffs. However, as Kitagawa explains, the tariffs have had a “minimal impact” on PC shipments. The date for the potential increase in tariffs was pushed out to December 2019,” explained Ms Kitagawa.

The declining prices of different components, mostly DRAM and SSDs have resulted in PC vendors increasing their profit margins. The key players – Lenovo, HP and Dell, just reinforced their positions. The Acer Group has also experienced year-over-year growth in shipments in the third quarter of 2019.