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.