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PC Market Outlook Bright IDC

by Doug Olenick -- TWICE, 6/13/2006

Framingham, Mass. — International Data Corp. (IDC) reported the PC market forecast for the year remains strong despite a slowdown in sales.

IDC is now anticipating 25.6 million computers to ship into the U.S. consumer market, an 8.5 percent increase, up slightly from the 8.3 percent increase experienced in 2005. Looking forward to 2007 and 2008, IDC expects shipments to increase a healthy 13.2 percent and 12.1 percent, respectively.

“Slower growth in mature markets, the delayed release of Windows Vista and rising inventory increase the risk of slower growth,” said Loren Loverde, director of IDC’s worldwide quarterly PC tracker, “Nevertheless, we expect these factors will shift volume from 2006 to 2007 rather than reduce overall consumption while strong demand in emerging markets, portable adoption, falling prices, incomplete market penetration, continuing technology development and aggressive competition between component vendors, PC vendors, and distribution channels will continue to fuel solid growth.”

As has been the case for the past year, the increased popularity of notebook computers among consumers is helping sustain the market, both in the United States and worldwide.

“Consumers are becoming an increasingly strong force in both regional and worldwide PC shipments,” said Bob O'Donnell, clients and displays VP. “The movement towards consumer notebooks, in particular, will help maintain the double-digit growth rates that we are predicting for the worldwide PC market through 2008.”

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