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PC Shipments To Grow, Revenue Not So Much
By Chris Crum
Staff Writer
Article Date: 2005-08-23
Worldwide PC unit shipments are expected to grow by double digits this year, but revenue is expected to barely change according to a report from Gartner.
The report says that worldwide PC unit shipments are on pace to grow 12.7% this year, but worldwide PC revenue is only forecast to grow 0.5%.
"The quest for growth is forcing vendors to test the limits of PC price elasticity," said George Shiffler, principal analyst for Gartner's Client Platforms research. "The whole dynamic is compounded by the fact that buyers have increasingly come to expect sharp price declines."
"The drop in mobile PC ASP has been particularly remarkable," said Mikako Kitagawa, principal analyst for Gartner's Client Platforms research. "PC vendors have succeeded in increasing the unit share of higher-margin mobile PCs, but this has resulted in a significant sacrifice of desk-based revenue as vendors struggle to maintain the value proposition of desktops at the low end of the market".
Global PC shipments are expected to total 206.6 million, with revenue totaling $202.7 billion. Next year, shipments are expected to grow by 8.7% with revenue falling 0.4%.
About the Author:
Chris is a staff writer for WebProNews. Visit WebProNews for the latest ebusiness news.
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