HP has re-emerged as the top PC maker, toppling Dell, according to data from IDC.
Technology giant HP, which has been struggling in its PC business over the last several quarters, has bounced back to the No.1 spot, with a 29.5 per cent marketshare, almost 10 percentage points higher than Dell. Interestingly, Dell’s marketshare went down from 23.1 per cent in the first quarter to 19.1 per cent in the June-ended quarter, according to IDC data.
These developments come at a time when after a sluggish start in the first quarter of this fiscal year, the PC market has rebounded, signalling a pickup in sentiment due to a clear mandate in recent elections. In the last few quarters, there has been a changing of trend with consumers opting to buy smartphones and tablets, instead of laptops or desktops, according to analysts.
PC shipments for the second quarter of 2014 were 2.55 million units, a 23.6 per cent quarterly growth.
HP’s growth was largely fuelled by large deals that it won in Tamil Nadu. Additionally, the company's strategy of pricing products competitively and ensuring higher number of sale from distributors, helped it to reach the top spot, according to Manish Yadav, Market Analyst, Client Devices, IDC India.
The quarter also saw corporate PC segment emerging stronger with 1.38 million units shipped, a quarter-on-quarter growth of 34.5 per cent over the first quarter. The consumer PC market clocked 1.16 million units, a quarter-on-quarter growth of 12.8 per cent over the first quarter, according to IDC data. Competitor Dell, which is in the process of making changes to its India distribution model, is still a work in progress as it is transitions from a pure-play PC vendor to focussing more on storage, security and networking devices, which would take some time to bear fruit, according to market watchers.
Lenovo took the third spot with 13.9 per cent market share in the quarter, followed by Acer with 11.9 per cent and the rest by other PC makers.
IDC forecasts that the government's positive outlook towards business would see corporates spending more, coupled with the festival season to drive sales in the remaining quarters.