Tuesday, 26 March 2019 09:09

Australian PC shipments suffered sharp fall in 4Q2018

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Australian PC shipments suffered sharp fall in 4Q2018 Pixabay

Australian personal computer shipments fell sharply in the fourth quarter of 2018, by 2.5% year-on-year, the analyst firm IDC says, adding that this was a sharp reverse of the very strong 2Q and 3Q year-on-year growth of 8.9% and 9.6% respectively.

For the calendar year 2018, commercial device shipments grew by 9.2% while consumer devices fell 3%, IDC said.

“Competition from mobile devices, the slow pace of innovation and improvement in mainstream PC devices, and a disappointing gaming graphics hardware refresh cycle are all contributing to the extended life span of the consumer PC device”, said IDC Australia market analyst Sean Ashari.

“For much of the year the opposite trend was seen in commercial PC device shipments that were encouraged by SMB tax rebates, the looming Windows 7 end-of-support deadline, and the growing adoption of the PC-as-a-service model.

"Organisations were hungry for devices. However in 4Q2018 a combination of the Intel CPU shortage and uncertainty in business conditions - resulting from the US-China trade war and a domestic spending decline - curtailed growth at the end of the year and broke a year-long commercial growth trend.”

aus pc idc

The company forecast a 3% drop year-on-year in PC shipments in 2019.

“Australia is expected to experience the continued decline in consumer PC shipments as a result of falling house prices, shrinking household savings, and uncertainty around interest rates,” said Ashari.

“In 2019, government and exporting businesses are expected to increase spending on PC devices, while locally trading businesses face a slow decline in business confidence.”

Chart: courtesy IDC Australia

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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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