Uncertainty in India, China affecting Asia/Pacific PC mkt: IDC
New Delhi: Personal computer sales in Asia Pacific, excluding Japan, face challenges such as uncertainty over an education project in India and economic conditions in China, global research firm IDC has said.
Asia Pacific PC market reported tepid sales in April-June 2013 due to a slowing economy in China pulling the entire region down despite growth in India that saw shipments for a large education notebook project.
"The second half of this year still faces a number of challenges such as economic and channel conditions in China as well as uncertainty around an education project in India," IDC Asia/Pacific Research Manager Handoko Andi said.
However, the firm said technological innovation could help markets recover in 2014.
"It's possible for the market to bottom out and recover by 2014 as technology evolves, but IDC confidence is low at the moment given all of the forces tugging at each other right now," Andi added.
As per IDC figures, Asia/Pacific (excluding Japan) PC market declined 11 per cent year-on-year in 2013 Q2 to reach 26.7 million units, which is marginally lower than its initial forecasts.
It added that weak sell-in for much of Q2 amid ongoing consumer distractions, such as phones and tablets, as well as a slowing economy affected the PC market performance in China.
While consumer sentiment in the rest of region was also tepid, a higher-than-expected shipment for a large education notebook project in India helped to offset some of this decline, it said.
Another research firm Gartner attributed the decline in sales in the second quarter to overall weakness across the region.
In Asia/Pacific, PC shipments surpassed 26.8 million units in the second quarter of 2013, an 11.5 percent decline from the first quarter of 2012, it said.
All country markets across the region showed weakness, but India performed slightly better due to a state PC tender fulfilment, it added.
"China's PC shipment remained weak as the consumer market was hampered with lack of new demand generation programmes, such as subsidised PC programme in the rural cities," Gartner said.