Gartner: PC Shipments Declined 2% in 4Q17 and 2.8% for the Year

Gartner: PC Shipments Declined 2% in 4Q17 and 2.8% for the Year
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As we have mentioned earlier, it is still unclear whether PC shipments grew or fell in the last quarter of 2017. Gartner reports, also in a preliminary analysis, that PC shipments totaled 71.6 million units in the fourth quarter of 2017, a 2 percent decline from the same quarter of 2016.

For the year, 2017 PC shipments surpassed 262.5 million units, a 2.8 percent decline from 2016. It was the 13th consecutive quarter of declining global PC shipments, as well as the sixth year of annual declines. However, Gartner analysts said there were some signs for optimism.

"In the fourth quarter of 2017, there was PC shipment growth in Asia/Pacific, Japan and Latin America. There was only a moderate shipment decline in EMEA," said Mikako Kitagawa, principal analyst at Gartner. "However, the U.S. market saw a steep decline, which offset the generally positive results in other regions. The fourth quarter results confirmed again that PCs are no longer popular holiday gift items. This does not mean that PCs will disappear from households," Kitagawa said.

HP moved into the No. 1 position in the fourth quarter of 2017, as its shipments grew 6.6 percent, and its market share totaled 22.5 percent. The company showed year-over-year growth in all regions, including the challenging U.S. market. For the fourth consecutive quarter, Lenovo experienced a decline in shipments. Lenovo had moderate growth in EMEA and Asia/Pacific, but shipments declined in North America.

Worldwide Shipment Estimates for 4Q17 (Thousands of Units)


Company

4Q17 Shipments

4Q17 Market Share (%)

4Q16 Shipments

4Q16 Market Share (%)

4Q17-4Q16 Growth (%)

HP

16,076

22.5

15,084

20.7

6.6

Lenovo

15,742

22.0

15,857

21.7

-0.7

Dell

10,841

15.2

10,767

14.7

0.7

Apple

5,449

7.6

5,374

7.4

1.4

Asus

4,731

6.6

5,336

7.3

-11.3

Acer

4,726

6.6

4,998

6.8

-5.4

Others

13,990

19.6

15,599

21.4

-10.3

Total

71,556

100.0

73,015

100.0

-2.0

Dell's shipments grew slightly in the fourth quarter of 2017. Dell did well in EMEA, Asia/Pacific and Latin America, but it had weak results in North America. Generally, Dell has put a higher priority on profitability over market share.

In the U.S., PC shipments surpassed 15.2 million units in the fourth quarter of 2017, an 8 percent decline from the fourth quarter of 2016. Four of the top five vendors experienced a decline in U.S. PC shipments in the fourth quarter of 2017. HP Inc. was the only vendor to increase shipments in the quarter. The decline was attributed to weak consumer demand despite holiday season sales.

PC shipments in EMEA totaled 21.8 million units in the fourth quarter of 2017, a 1.4 percent decline year over year. PC demand in the U.K. was still ailing and unit shipments into Germany were weaker than expected. PC revenue is expected to be up year over year in Western Europe. The rise in ASPs is due to currency fluctuations, the need for vendors to offset rising component costs, and a product-mix shift toward higher-value items, such as gaming systems and high-performing notebooks.

The Asia/Pacific PC market totaled 25 million units in the fourth quarter of 2017, a 0.6 percent increase from the fourth quarter of 2016. The consumer market stabilized with fourth-quarter online promotions in many countries, which drove demand for gaming PCs and thin and light notebooks. China experienced its first positive PC shipment growth since the first quarter of 2012. The success of the 11.11 shopping festival and the continuing demand for PCs in the commercial market drove the China PC market to 1.1 percent growth in the quarter.

For the year, worldwide PC shipments totaled 262.5 million units in 2017, a 2.8 percent decrease from 2016. As the PC industry continues to consolidate, the top four vendors in 2017 accounted for 64 percent of global PC shipments. In 2011, the top four vendors accounted for 45 percent of PC shipments.

Worldwide PC Shipment Estimates for 2017 (Thousands of Units)


Company

2017

Shipments

2017 Market

Share (%)

2016

Shipments

2016 Market Share (%)

2017-2016 Growth (%)

HP

55,162

21.0

52,734

19.5

4.6

Lenovo

54,714

20.8

55,951

20.7

-2.2

Dell

39,871

15.2

39,421

14.6

1.1

Apple

19,299

7.4

18,546

6.9

4.1

Asus

17,967

6.8

20,496

7.6

-12.3

Acer

17,088

6.5

18,274

6.8

-6.5

Others

58,435

22.3

64,683

23.9

-9.7

Total

262,537

100.0

270,106

100.0

-2.8