PC And Mac Sales Down Both Domestically And Globally
July 15, 2012

PC And Mac Sales Down Both Domestically And Globally

redOrbit Staff & Wire Reports - Your Universe Online

The global computer market continued its downward trend during the second quarter of 2012, marking the seventh consecutive quarter that the industry had experienced either a loss or modest growth.

According to Ian Sherr of the Wall Street Journal, research firms Gartner and International Data Corporation (IDC) reported a 0.1% decline in shipments of personal computers. In terms of actual units, those figures represent hundreds of thousands of fewer computers, Gartner explained.

In the US, the decline ranged from 6% to 11% versus the second quarter of 2011, with IDC presenting the higher of those two percentages, AP writer Michael Liedtke said. Hewlett-Packard (HP) saw second-quarter desktop and laptop shipments drop by either 12% or 13%, while Dell's US sales fell about 9%, he added.

"The slump represents another setback for HP, a Silicon Valley pioneer that has been struggling to boost its profits during the past two years," Liedtke wrote. "At one point last year, HP considered selling or spinning off its PC business, but that idea was abandoned after the company hired Meg Whitman as its CEO nearly 10 months ago."

"Since her arrival, Whitman has drawn up plans to eliminate 27,000 jobs during the next three years to save up to $3.5 billion annually," he added. "Dell also is planning to trim more than $2 billion from its annual expenses as it adjusts to the upheaval in the PC market."

Likewise, chip manufacturer Advanced Micro Devices (AMD) has been impacted by the slumping PC market, Jeffery Burt of eWeek wrote on Thursday. On July 9, the company announced that their revenue had fallen as much as 9% over last April, May, and June, despite forecasts that showed a revenue increase of 3%. AMD has claimed that "continued weakness in the consumer market" was the "key reason" for the drastic changes in projected revenue.

"Vendors are still selling PCs -- according to Gartner analysts, in the second quarter, 87.5 million units were sold worldwide," Burt said. "But the slowdown in consumer sales in particular, combined with the uncertain global economic outlook, will make for some more difficult times ahead in the PC industry, at least through the next two quarters, when sales of systems with Microsoft´s Windows 8 should help stem the bleeding."

Windows-based systems aren't the only ones feeling the pinch, as Computerworld's Gregg Keizer reported Friday that IDC's findings also revealed a decrease in second quarter Mac sales. The research firm estimated that Apple had sold 1.83 million machines during the second quarter 2011, but only 1.81 million during the same three months this year -- a 1.1% decrease that would be Apple's first in three years, according to Computerworld.

"Apple's first quarter of 2012 was particularly poor when measured sequentially. Mac sales fell off the proverbial cliff after 2011's record-setting fourth quarter, dropping by 22.7% sequentially, the biggest quarter-over-quarter decline in the Mac's history," Keizer said. "The last time Apple's U.S. sales were down year-over-year was in early 2009, when the country was in the midst of its worst economic crisis since the 1930s."