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IDC on Indian PC Market: Desktop, Laptop Sales Slump

Jayesh Shinde 17 Feb 2011
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IDC India's quarterly PC sales marker for the quarter ending October - December 2010 suggests Indian PC market bouncing back from the effects of the global recession, year on year growth compared to 2009. But the overall desktop and laptops sold in Oct-Dec 2010 was lesser in total than PCs sold in Jul-Sept 2010, according to an IDC report.

The IDC trend points to a recovery in Indian PC sales. At 24.9 lakh units, desktop and laptop sales grew by 26% in Oct-Dec 2010 compared to 19.7 lakh units in Oct-Dec 2009. Desktop sales accounted for 14.9 lakh units whereas a total of 10.4 lakh laptops were sold in India in Q4 2010.
Laptop Desktop Sales Q4 2010: IDC chart

Here's what Sumanta Mukherjee, Lead PC Analyst at IDC India, has to say, "2010 has been an impressive year of recovery for the India PC market after a dismal 2009. While consumers have been the main architects of this recovery, it has been ably supported by renewed buying sentiment displayed by the SMB and government segments."

Desktop Laptop Sales
HP was the leading OEM in India for Q4 2010 PC sales, increasing its market share with 17.3-percent of overall sales, followed closely by Dell (14.2-percent) and Acer (11.5-percent). HP also topped laptop sales in India during Oct-Dec 2010, accounting for 26.2-percent market share -- Dell and Acer came in second and third, respectively.

However, PC sales shrunk in Q4 compared to Q3 2010

Despite impressive year-on-year growth for Q4, desktop and laptop sales still fell in Oct-Dec 2010 compared to the previous quarter i.e. July-Sept 2010. Only 24.9 lakh PC units were sold in Q4 compared to 27.9 lakh units in Q3 2010 -- a fall of 11-percent. High inflation and low industrial growth during the end of the year was to blame for the downward spiral, according to an IDC executive.

"It [PC Market] was still able to return an impressive year-on-year growth, indicating the inherent strength of consumer and commercial demand", stated Anirban Banerjee, Associate Vice President, Research, IDC India."

Netbooks to stagnate, Tablets to shine in 2011
As is apparent from CES 2011 and MWC 2011, which saw a record number of tablets announcements, 2011 will see tablets overshadowing netbooks, according to IDC. "Sales of Atom processor-based mini notebook PCs are likely to come under increasing pressure, as competitive offerings of rivals start becoming available in March 2011. Emergence of Media Tablets will also impact this category in the long run", Sumanta added further.

Also Read:
IDC: Laptop, desktop PC sales in India up 31-percent in 2010
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Tablet shipments to reach 46 million by 2014: IDC