Complex Made Simple

MEA PC market reports 25.6 per cent decline in second quarter

Shipments of desktops were down 21.2 per cent year on year, while the notebook segment declined 28.6 per cent

Marking it as the steepest decline ever recorded in the Middle East and Africa (MEA) region for a single quarter, the personal computer (PC) market suffered a 25.6 per cent year-on-year decline in the three months ending on 30 June 2015, according to research firm International Data Corporation (IDC).

During the first half of the year, overall PC shipments for the quarter fell to 3.3 million units. The latest market insights from IDC also show that, while desktops were down 21.2 per cent year on year to 1.4m units, the notebook segment declined 28.6 per cent to total 1.9m units.

Arguing that the slowdown in the UAE had hit the PC market in the country, Fouad Charakla, Research Manager at IDC Middle East, Africa and Turkey, says two of the biggest declines were seen in Turkey and the rest of the Middle East region, which includes Iran, Iraq, Syria, Yemen, Afghanistan and Palestine.

“Both these territories carried over high inventory levels from the previous quarter as a result of a slowdown in demand. This factor was an inhibitor of PC shipments in other parts of the region as well, including the UAE,” he said.

Charakla added: “Currency fluctuations also had a negative impact on supply and demand in several key markets across the region. In the UAE, a slowdown in tourism spending – primarily from Russia and Europe – continued to inhibit PC demand.”

The research firm says that, with a fall of fall 15.7 per cent year-on-year to total 15.2m units, the whole of 2015 is expected witness the region’s worst ever performance.

However, in the longer run, the PC market will experience a partial recovery in 2016, with shipments tipped to grow ten per cent year on year during the 12 months.

The top three vendors in the region retained their positions from the last few quarters. However, they had suffered significant year-on-year declines in their shipments to the region.

HP continued to lead in terms of market share, but saw its shipments fall 26 per cent followed by Lenovo, which saw a 19 per cent decline. Dell posted a downturn of 10.3 per cent.