Growth of India PC market hit by slowdown: IDC

IDC (India)'s PC Tracking Program indicated that unlike the impressive 56
percent growth seen in the PC market in 2000-01, the current year is likely to
witness slow growth.

In the April-May-June (AMJ) quarter the market grew by just 11 percent over
AMJ 2000. The AMJ quarter usually sees a pick-up in home buying. However, in
2001 even this factor failed to stimulate the market.

Consumer desktops shipments in AMJ 2001 grew by just 12 percent over JFM 2001
compared to 35 percent in the corresponding quarters in 2000.

IDC expects the macro-economic situation to stay difficult throughout
2001-02. Consumer spending too would remain depressed. This slowdown will cut
across all segments with only government, finance and education segments
continuing to buy at a relatively healthy rate. The local assemblers could gain
somewhat from a tendency of buyers to seek the most cost-effective deals in a
tight economic situation. Overall, IDC expects the growth rate in desktop
shipments in 2001-02 over 2000-01 to be around 16 percent compared to 56 percent
in the previous year.