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India PC Shipments to Grow, Says Gartner

By ChannelTimes Staff
Mumbai, Mar 21, 2007

India shipments are set to grow by 20 per cent while worldwide PC shipments are forecast to total 255.7 million units in 2007, a 10.5 percent increase from 2006. Worldwide PC revenue is projected to reach 213.7 billion dollars, a 4.6 percent increase, according to the latest forecast by Gartner, Inc.

"We expect the market environment to be much the same over the near term as it has been recently," said George Shiffler, research director for Gartner Dataquests Client Platforms Markets Group. Further adding, "Emerging markets and mobile PCs will continue to offer PC vendors their best opportunities for growth. However, falling average selling prices (ASP), slowing replacement activity, and further declines in mature market desk-based PC shipments will keep PC vendors under pressure to rationalize their operations or exit the market."

Commenting on the India market, Diptarup Chakraborti, principal analyst at Gartner India, said, "The consumer and the SMB segments will be the major drivers of the Indian market. High demand for mobile PCs bolstered the growth, overtaking sales in the desk-based segment. In addition, with a greater focus given to e-governance, the government spend is expected to propel the market further North."

Gartner analysts said worldwide PC shipments would enjoy at best a limited boost from the release of Microsoft s new operating system (OS), Vista.

"Vista's effect on PC shipments ultimately depends on the number of consumers and SMBs that find its new features compelling enough to buy a new PC," said Mikako Kitagawa, principal analyst for Gartner Dataquest s Client Computing Markets Group. "While Vista includes a number of interesting features, these features just don t have enough must have appeal with the average home and SMB user to spark a significant rush of new PC sales," he added.

Gartner analysts said they expect a minor increase in sales to the small number of consumers and SMBs that put off replacing their older systems in anticipation of Vista s release. However, the vast majority of consumers and SMBs are expected to adopt the new OS as they gradually replace existing machines during the next several years.

"Consumers and SMBs in mature markets would be hard-pressed to find a new PC with Windows XP," said Annette Jump, research director for Gartner Dataquests Client Computing Markets Group. "This will naturally speed Vista's adoption among consumers and SMBs. If you consider that Window Vista Home Premium is priced higher than Windows XP Home, Microsoft could enjoy very good results from Vista if large numbers of consumers opt for the premium edition. PC vendors could also benefit if they are able to pass this cost increase onto consumers in the form of higher PC prices."

Vista is forecast to have virtually no impact on PC shipments to larger businesses in 2007. And Vista adoption among large business is expected to lag behind consumers and SMBs. With large businesses, the issue is not so much a lack of must-have features as it is the insistence of large enterprise IT managers that the new OS be thoroughly tested and validated against established applications before it is widely deployed. Gartner analysts expect large businesses to delay widespread adoption of Vista until at least of middle of next year about the time they are expected to begin a new replacement cycle.
How will this increase help cahnnel partners?

     
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Comments
                                         31/03/07 11:42 AM
                                         Report this as Offensive Post
looks like an article to promote Microsoft. Channel Times needs to introspect. There is absolutely no data on figures on the Indian PC market - Size, last year, this year. So what is this article saying ? We all know the growth rate & growing verticals. Some one needs to do a basic course on news reporting
- ashish sinha, PC World, Delhi
Reply  
                                         27/03/07 03:09 PM
                                         Report this as Offensive Post
Sir i want mercury tuner card drivers
- NARENDRA, SAI GANESH, VISAKHAPATNAM
Reply  
                                         22/03/07 04:11 PM
                                         Report this as Offensive Post
Its a good news for india.It is bebeficial for all cahnnel Partners.
- Shashi Pandey, Priya Limited, Lucknow
Reply  
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