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Asia PC shipments rise 5 percent in Q1 '03

Posted: 14 May 2003 ?? ?Print Version ?Bookmark and Share

Keywords:gartner? pc? computer? computing platform? cpu?

According to a recent report by research and advisory firm Gartner Inc., Asia-Pacific PC shipments totaled 5.4 million units in Q1 of 2003, a 5 percent increase from the same period in 2002.

"Though demand for PCs was cautious because of the general weak economic situation and the war in Iraq, growth rates should have been stronger, but the market suffered a drastic decline in demand from South Korea, the second largest market in Asia-Pacific," said Lillian Tay, principal analyst for Gartner's Computing Platforms Asia-Pacific group.

Further, PC shipments in South Korea have reportedly declined 22 percent over the same quarter last year. North Korea's nuclear standoff, a major financial scandal, and the war in Iraq have negatively affected the local economy, said Gartner.

Additionally, China is reported to be growing steadily, by 9 percent over last year. No major spike in demand was seen, and the growth in the home market continues to outpace that of the professional market. Although other countries showed strong double-digit growth, it could not increase the region's growth rate, the research firm explained.

Meanwhile, Severe Acute Respiratory Syndrome (SARS) showed to have had a limited impact on PC demand for Q1 because the outbreak occurred toward the end of March. Hong Kong, Singapore, and China are expected to receive the brunt of the SARS-related slowdown in Q2.

Also, the private market in Asia-Pacific grew 4 percent this quarter, while the professional market grew 6 percent year-over-year. "This quarter's performance is encouraging, compared with the same quarter one year ago, as the business market showed slow but slightly better-than-expected progress indicating that PCs are being replaced as needed," added Tay.

Stronger demand for mobile PCs drove the overall PC market while the desk-based PC remains flat, Gartner said. The mobile PC segment represented 18 percent of the overall PC market in Q1 of 2003, compared with a 15 percent market share in the same period last year. Demand was driven by availability of more models with options, such as weight, CPUs, screen sizes, and aggressive price points, which made mobile PCs more affordable than in previous years.

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