India Development News & Foreign Investment Opportunities

PC demand slows down due to chip shortages

GST impacts y-o-y sales


GST impacts y-o-y sales


Overall the Indian PC market will decline due to Intel chip shortages and post Diwali slowdown, according to IDC India.

“While the excitement at the premium end of the market will remain and expected to grow further, IDC expects overall India PC market to decline due to Intel chip shortages and also on account of post Diwali slowdown of the market,” said Navkendar Singh, Associate Research Director, Client Devices & IPDS, IDC India.

“OEM’s are also expected to revamp their portfolio with new product launches in mid to premium segment in the next few months.

“Ongoing global enterprise account refresh and fulfilment of spill-over education projects are expected to drive the commercial segment contribution in 2018Q4,” said Singh.

Meanwhile, the traditional PC market shipments for 2018Q3 stood at 2.71 million units, up a healthy 20.2% growth quarter-on-quarter (QoQ).

However, on a year-on-year basis it saw a decline of 10.6% owing to increased sell-in due to GST implementation in 2017Q3.

Consumer PC market recorded an overall shipment of 1.45 million units in 2018Q3, which is a 33.9% increase over last quarter.

E-tailers were the primary growth drivers with their multiple efforts on wider product portfolio availability and affordability efforts like easy financing & EMI (Equated Monthly Instalments) in tie up with almost all the major vendors and financing companies.

“Increase in discretionary spending aided by consumer financing schemes provided a strong momentum to premium device like Gaming Notebooks. Festive season buying, and online sales also resulted in increased consumer spending,” said Nishant Bansal, Research Manager, IPDS & PC, IDC India.

The overall commercial PC market saw a total shipment of 1.25 million units in 2018Q3, registering a sequential growth of 7.5%.

“Large education projects in states like Orissa, Rajasthan and Assam drove demand from public sector perspective.

“Demand from Small and Midsize Business (SMB) segment along with refresh buying from Enterprises also aided in the growth of the commercial segment,” elaborated Bansal in IDC Quarterly Personal Computing Devices Tracker released in November 2018.

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.

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.

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