World PC shipments grew 45 p.c year-on-year to 75.6 million within the first quarter of 2021, in response to a market analysis report. Lenovo retained its market management, and was adopted by HP and Dell. The expansion within the shipments of key PC distributors is forecast to proceed within the coming months. Nevertheless, the worldwide chip scarcity that has impacted the provision of key parts — within the aftermath of the COVID-19 outbreak final 12 months — is predicted to proceed to have an effect on the PC market worldwide within the second half of 2021.
Market analysis agency Counterpoint has reported the world PC shipments knowledge for the primary quarter. The agency stated sturdy demand throughout totally different classes and a low base in the identical interval final 12 months as a result of coronavirus outbreak are amongst the prime causes for the expansion.
Lenovo led the market once more within the first quarter of 2021 with a 24 p.c share, adopted by HP at 23 p.c, Dell at 17 p.c, and Apple at 9 p.c, in response to Counterpoint. The report stated that the general momentum of the market was primarily pushed by the expansion in gaming notebooks and a surging demand from the work-from-home and study-from-home segments.
Nevertheless, the cargo volumes had been down 14 p.c sequentially from the fourth quarter of 2020 resulting from seasonality, the report stated.
Lenovo, HP, Dell, and Apple had been amongst the top-five PC distributors globally in Q1 2021
Photograph Credit score: Counterpoint
The rising demand for computer systems (particularly notebooks) is anticipated to proceed within the second quarter. Counterpoint additionally stated that the highest six distributors will proceed to dominate the market with a mixed share of over 85 p.c.
Predicting future tendencies, Counterpoint stated that premium fashions with greater common promoting costs may dominate the market by huge promotions. Nevertheless, that progress could negatively impression the rising shipments of Chromebooks to some extent.
Counterpoint stated the market will see a 16.3 p.c year-on-year progress in 2021, with shipments reaching 333 million.
Nevertheless, regardless of the projected progress, the continuing scarcity of chips is more likely to impression the market. The agency stated that it discovered a 20-30 p.c hole between orders (end-demand) and precise shipments of key parts together with energy administration built-in circuit (IC), show driver IC, and CPUs.
Energy administration built-in circuits (PMICs) and show driver built-in circuits (DDIC) are stated to have confronted the largest gaps in demand and provide the PC section, with their lead time (the full time from the begin to the top of their manufacturing) being nearly twice as a lot as a result of coronavirus pandemic.
Counterpoint observed that whereas PC CPUs’ provide began to enhance within the late first half, some distributors confronted difficulties in assembly the demand for parts equivalent to audio codec IC and LAN chips. Wi-Fi SoC shipments had been additionally comparatively at low stock ranges.
“Since we don’t see any significant foundry capability enlargement in H2 2021, it’s unlikely that the lead time for key IC parts would recuperate from the present standing. Due to this fact, PC manufacturers and ODMs can’t totally clear up the scarcity subject and clear the orders backlog,” stated William Li, a semiconductor and parts analysis analyst at Counterpoint.
The demand-supply hole for parts, which began within the second half of 2020, is anticipated to proceed for some extra time. However Counterpoint stated it ought to steadily be normalised within the late first half of 2022.
In late Could, Dell and HP warned whereas asserting their quarterly earnings that the chip scarcity would considerably impression their PC provides not less than till the top of the 12 months. The market noticed its highest annual progress in a decade in January.