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Political stability helps PC market grow

Overall India PC shipment for Q3 2014 stood at 2.67 mn units with a quarter-on-quarter growth of 5.8% over Q2 2014 and year-on-year drop of 16.9% over Q3 2013.

Commercial PC market in Q3 2014 recorded 1.29 mn units in Q3 2014; with 4.7% decline quarter-on-quarter. Business confidence post elections have shot up considerably and a slew of policy measures announced by the government has further provided an impetus to the overall growth in Q3. Top three vendors in  India for this quarter are HP  with a market share of  25.5%, Dell and Lenovo (16.5%).

The Overall consumer PC market recorded 1.37 mn units, a quarter-on-quarter growth of 18.1% over Q2 2014. “Uptake of affordable PC segment (sub $400 portable PCs) along with seasonal demand owing to festive season resulted in a sharp improvement in Q3, ” comments Manish Yadav, market analyst,  Client Devices, IDC India.

IDC anticipates demand fallout in Q4 2014 in the consumer PC business. “Q4 is usually hit by a post festive syndrome and 2014 would be no different. Also, protests by the channel community across various parts of India against predatory pricing by e-tailers has added to the woes in the PC market. We expect the sequential fallout in the consumer business to be in the range of 15-20%,” adds Kiran Kumar, research manager, Client Devices, IDC India.

On the other hand, commercial business is expected to maintain its momentum over the next few quarters driven by a healthy demand in government and public education segments in the coming quarters.

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