pc sales

As PC sales tank, what's Microsoft's Plan B?

When market analyst IDC last week noted the sharp 13.9 percent quarterly drop in worldwide PC sales, it placed much of the blame on the "radical" user interface changes of Microsoft's new Windows 8 operating system.

"Microsoft will have to make some very tough decisions moving forward if it wants to help reinvigorate the PC market," Bob O'Donnell, IDC's program vice president for clients and displays, said in a statement.

Therein lies a core challenge for Microsoft. The software giant doesn't really have a plan B.

Microsoft can't undo the … Read more

Haswell chip notebooks won't save PC sales, says analyst

PC sales are in the dumps, and not even a promising new chip from Intel may be enough to revive them, believes J.P Morgan analyst Mark Moskowitz.

The computer industry took it on the chin yesterday after both IDC and Gartner revealed that first-quarter shipments reached their lowest point in years. IDC fingered Windows 8 for failing to pump up PC sales but also blamed the weak economy and consumer demand for smartphones and tablets.

PC makers have been awaiting the arrival of Intel's new Haswell chip, which promises higher performance and lower power consumption. As such, the … Read more

Windows 8 fails to lift PC market as tablets soar, Gartner says

Research firm Gartner says that an estimated drop of 4.9 percent in worldwide PC sales over the fourth quarter has signaled a shift in the market.

In the fourth quarter, PC shipments worldwide fell by an estimated 4.9 percent, according to the research firm. A total of 90.3 million units were sold, but a shift in both consumer habits and the fragile state of the economy played a part in making sure PC manufacturers had little to celebrate as their products were shunned in favor of tablets.

Mikako Kitagawa, principal analyst at Gartner said:

"Tablets have … Read more

Windows 8, Surface to squeeze PC unit sales in Q3, analyst says

PC unit sales could fall as much as 5 percent to 10 percent in the third quarter from a year ago, according to Jefferies analyst Peter Misek's latest research note, published late last night.

Misek sees a troublesome time ahead for PC builders following a single-digit drop in PC shipments in the second quarter, particularly with Dell and Hewlett-Packard.

The report comes after he estimates what was a low drop in second-quarter PC shipments.

It also follows only a month after the two PC makers saw their target prices cut with analysts suggesting: "Windows 8 will prove to … Read more

Microsoft expects analysts' projections for PC market to decline

Microsoft warned today that PC sales in the fourth quarter may be lower than analysts had previously expected due to flooding in Thailand.

While analysts had expected PC shipments to fall about 1 percent, the actual number may be lower, Microsoft Windows CFO Tami Reller said during an appearance today at the Consumer Electronics Show, according to a Bloomberg report. Reller said during a Nomura Holdings event that more downward adjustments may be coming.

That opinion was echoed at a separate event by Bill Koefoed, the general manager of Investor Relations for Microsoft.

"As the numbers come out, you'… Read more

iPad taking some bite out of PC sales, says iSuppli

Demand for the iPad and other tablets has taken a certain toll on PC sales, thought it's mostly the lower-end Netbook market that has suffered, according to data released yesterday by IHS iSuppli.

Worldwide, PC shipments slipped to 81.3 million during the first quarter, a drop of only 0.3 percent from the 81.6 million shipped in the year-ago quarter. Looking at the top five global PC vendors, HP, Dell, and Acer all saw a decline in shipments from a year ago, while Lenovo and Toshiba watched their shipments rise.

Among the five, Acer took the biggest hit, with its shipments dropping by more than 20 percent from 2010's first quarter. IHS iSuppli attributed Acer's decline to its heavy focus on selling Netbook-style PCs, which it sees as the segment most directly affected by the demand for the iPad and other tablets.

"The increasing momentum of the media tablet market, led by the iPad, is creating a difficult environment for the PC industry," IHS analyst Matthew Wilkins said in a statement. "All the attention surrounding tablets contributed to weak consumer demand for PCs in the first quarter."

However, the analyst admits there's still uncertainty over exactly how much of an impact tablets are having on the PC market.… Read more

PC shipments back on track in first quarter

The PC industry bounced back during the end of 2009, and was able to continue its momentum through the first quarter of 2010.

PC shipments rose 24 percent from the same quarter a year ago to 79.1 million units worldwide, according to IDC's Quarterly PC Tracker report, issued Wednesday. It's the second straight quarter of double-digit growth, and indicates the industry is on its way to recovery after a disastrous late 2008 and most of 2009.

"We had such a strong fourth quarter that there was a risk of having addressed the urgent demand, which was … Read more

Revived PC market to enjoy double-digit growth

Shipments of personal computers are on the rise once again and should see sustained growth over the next few years, according to IDC's latest "Worldwide Quarterly PC Tracker" released Monday.

Following a down first half in 2009, global shipments of PCs came alive in the second half, helping to eke out annual growth of 2.9 percent and putting the segment back in the black. Gains were due largely to shipments of portable computers, which rose 18.4 percent in 2009 over 2008. On the consumer end, purchases of notebooks jumped 38.5 percent for the year.

"PC volume continued to grow in 2009--fairing much better than in 2001, when a smaller recession produced a decline in PC volume," said IDC research analyst Jay Chou. "The positive 2009 results reflect lower prices and the fact that PCs are increasingly a must-have product."

The commercial and business PC market remained sluggish throughout last year but showed a slight recovery in the fourth quarter with growth of just under 1 percent. The much-vaunted Netbook finally showed some kinks in its armor as its growth slowed in the final quarter while other notebook categories rose 22 percent, said IDC.

For 2010, PC shipments are expected to grow 12.6 percent. Emerging markets have already done their fair share to stimulate the market and are likely to contribute growth of 18.5 percent this year. More mature markets will add growth of 7.2 percent this year, with double-digit gains following in 2011.

Portable PCs will remain the key driver of growth in both the consumer and business markets, grabbing a 70 percent share of all personal computers shipped by 2012, noted IDC. Desktop PC shipments will continue to fall across the world except in the Asia/Pacific region (excluding Japan), helping to keep them in slightly positive territory over the next few years.

PC sales are another story.… Read more

CNET News Daily Podcast: Bad news for the PC industry

As badly as the second half of 2008 treated the PC industry, 2009 is shaping up to be worse, according to a couple of new analyst reports. CNET News reporter Erica Ogg explains.

Plus, what can you expect from cameras and camera gear over the next six months? CNET News reporter Stephen Shankland is just back from the Photo Marketing Association trade show in Las Vegas and he tells CNET News intern Erik Palm what he saw.

Listen now: Download today's podcast

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Microsoft: We'll fare better in recession

While its crystal ball is no clearer than anyone else's, Microsoft Chief Financial Officer Chris Liddell told financial analysts the company is committed to faring better than the overall IT industry, whatever the economy brings.

The company, in its quarterly earnings report, lowered its growth outlook for the year, but not as much as some had feared. It is now forecasting at least a mild recession, as opposed the economic growth it once saw coming in the second half of its fiscal year.

At the same time, Liddell, in a call with analysts following the earnings report, pointed out … Read more