Indian PC market sales touches 22.4 lakh units in Q1: IDC

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DQC News Bureau
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The overall India PC market sales touched 22.40 lakh units during the
January-March 2010 quarter recording a 33 percent YoY (Q1 2010 over Q1 2009) and
a 14 percent QoQ (Q1 2010 over Q4 2009) increase. Desktop PC sales accounted for
nearly two-thirds of total PC sales at 14.36 lakh units, representing 18 percent
growth YoY (Q1 2010 over Q1 2009). The sales of notebook computers grew at 72
percent YoY (Q1 2010 over Q4 2009) clocking 8.03 lakh shipments, the highest in
a quarter.

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In the overall PC (notebooks and desktops combined) market, HP retained the
top spot with a marketshare of 16.5 percent, while Dell (13.6 percent) and Acer
(13.0 percent) took the second and third spots, respectively.

In terms of desktop PC shipments, HP retained its top position with a
marketshare of 11.2 percent, followed by Acer and HCL in second and third spots,
respectively during Q1 2010. In terms of notebook PC shipments, HP reclaimed the
top spot with a marketshare of 25.9 percent in Q1 2010; Dell slipped back to
second position, while Acer was ranked at number three.

Fiscal year 2009-10 saw the revival of PC sales growth to touch 7.6 percent
(over 2008-09). This was on the back of an 8.1 percent decline in fiscal year
2008-09 over the previous 12-month period (FY 2007-08).

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Growth revives in the commercial segment

According to Anirban Banerjee, AVP-Research, IDC India, "Continued consumer
confidence and a revival of growth in the economy, led to the January-March 2010
quarter experiencing an upward trend in consumer PC shipments. The commercial
segment, especially large and very large businesses, also saw a demand growth.
This performance underscores a more broad-based recovery in the Indian PC
market."

The market registered a 42 percent YoY (Q1 2010 over Q1 2009) growth in the
consumer PC segment and a 28 percent YoY (Q1 2010 over Q1 2009) growth in
commercial PC shipments as a result of improved performance across all segments.

"The high traction in desktop PC shipments during Q1 2010 can be attributed
to the long-overdue spends on IT infrastructure by large and very large
businesses and the Government segment. Growth in notebook PC shipments was
mainly driven by consumer demand," stated Sumanta Mukherjee, Lead PC Analyst,
IDC India.

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India PC
Shipments ('000s) by Form Factor* and Growth Trends: Jan-March 2010 vs.
Oct-Dec 2009 and Jan-March 2010 vs. Jan-March 2009

Form Factor

Q1 2009 (Jan-March 2009

Q4 2009 (Oct-Dec 2009)

Q1 2010 (Jan-March 2010)

Growth (Q1 2010 over Q4 2009)

Growth (Q1 2010 over Q1 2009)

Desktop PCs

1,213

1,271

1,436

13%

18%

Notebook PCs

466

699

803

15%

72%

Total Client PC

1,679

1,970

2,240

14%

33%

*
Source: IDC's India Quarterly PC Tracker, 1Q 2010, May 2010 release

"The mini notebook PC segment continued to show healthy growth in shipments,
as more consumers sought affordable mobile computing. Intense competition forced
a drop in prices, encouraging greater adoption," Mukherjee further added.

dqc news bureau