Traditional PC market thrives during global slowdown

The traditional PC market is showing resilience in the face of global economic slowdown, with worldwide shipments surging in the second quarter of 2020, according to the International Data Corporation (IDC).

Results of the IDC Worldwide Quarterly Personal Computer Device Tracker reveal that global shipments of desktops, notebooks and workstations totalled 72.3 million units in Q2, representing a year-on-year increase of 11.2%.

The growth occurred against a backdrop of tightening COVID-19 restrictions that saw demand for notebooks skyrocket, as businesses and education providers sought continuity for their operations.

With air and sea freight costs returning to more reasonable (pre-COVID) levels — and global production ramping up — retailers were well-equipped to meet the surge in demand, despite some logistical issues early in the quarter.

Jitesh Ubrani, Research Manager for IDC's Mobile Device Trackers, said the results are better than expected but may not persist into the COVID-19 recovery phase.

"The strong demand driven by work-from-home as well as e-learning needs has surpassed previous expectations and has once again put the PC at the centre of consumers' tech portfolio,” he said.

"What remains to be seen is if this demand and high level of usage continues during a recession and into the post-COVID world, since budgets are shrinking while schools and workplaces reopen."

Linn Huang, Research Vice President, Devices and Displays at IDC, echoed these concerns and said the COVID-19 recovery phase would pose a challenge for the industry — more so than the pandemic itself.

"With inventory still back ordered, this goodwill will continue into July. However, as we head deeper into a global recession, the goodwill sentiment will increasingly sour," Huang said.

Image credit: ©stock.adobe.com/au/kite_rin