Western Europe’s PC Market Jumps 48 Percent in 1Q21

During the first quarter of 2021, Western European PC shipments reached 16.1 million units, up 48% year on year, according to Canalys. The COVID-19 demand momentum from 2020 has continued into 2021.

Ongoing bottlenecks around key components are delaying some orders, but the supply chain is actually in much better shape than in 1Q20, which saw sudden factory closures amid the first COVID-19 outbreaks. HP regained the top spot, shipping 4.1 million units and taking a 26% share of the market. Lenovo followed closely, shipping 4.0 million units to take a 25% share. Dell, Apple and Acer completed the top five, with 14%, 10% and 9% shares respectively.

“While demand remains sky high, the question is can supply cope? Right now, the vendors that can fulfil orders the quickest will win,“ said Canalys research analyst Trang Pham. “In Q1, several PC distributors and resellers reported strong supply of HP devices, especially for AMD models. And in cases where shipment delays were inevitable, HP managed its channel well, being transparent about shipment timings and giving assurances to customers, which discouraged them from seeking alternatives. Lenovo also had an exceptional quarter, with particular success in Chromebook sales as Google continues to spend big to push its platform with enterprise customers. Its new manufacturing facility in Hungary will also speed up order fulfilment in Europe.“

The vaccine program in Western Europe did not significantly improve business and social activity, due to limited supply, diplomatic incidents, and medical authority hesitancy over the AstraZeneca vaccine in some countries. In Q1, many countries, such as France, Germany and Italy, were hit with new waves of COVID cases, and were forced to re-impose strict measures.

“The picture is certainly improving, but we are not out of the woods yet,“ said Canalys Research Manager Ben Stanton. “As vaccinations progress, restrictions have started to ease, which will pave the way for economic recovery. Schools, for example, were re-opened between March and May in different countries. And business activities are resuming, as employees return to their offices. But the world that emerges will not be the same as the one we left behind. Digital transformation has accelerated, apps and workloads are increasingly cloud-based, and employees will now expect remote and hybrid working options. It is extremely unlikely that PC supply will match this sustained demand surge over the next 12 months. If a vendor can supply, the product will fly.“