These are arguably the toughest times for the smartphone and PC industries.
Global smartphone shipments were down 9% (year on year) in the second quarter of this year. Now PC shipments (desktops, laptops and workstations) have followed suit. And its decline has been alarming. Global PC shipments dropped 11.1% in the second quarter of 2022, reaching 71.2 million units and posting the biggest annual decline since the second quarter of 2013.
According to Counterpoint data, the decline was largely due to the lockdown in China that hit the PC supply chain. Worryingly, however, consumer demand was also weak. The double whammy hit the industry hugely. “Regional conflicts and global inflation have resulted in a drop in consumer demand and spending. Companies are also delaying their new purchases and device upgrades, although orders from the commercial segment have remained stronger compared to the consumer segment,” Counterpoint said.
But on the bright side, things can’t get any worse. And this might be a good time to do good business on laptops and desktops.
Apple loses its position
By region, the US and EU saw double-digit year-over-year declines in their shipments in Q2 2022, mainly due to the Chromebook demand correction and low consumer demand. China went into lockdown earlier this year, and that has wreaked havoc for laptop makers like Quanta, Compal and Wistron.
Among PC brands, Lenovo was able to continue its leadership in the global PC market with a 24.4% share in Q2 2022. Total brand shipments were down 12.7% YoY to 17.4 million units.
HP suffered the most among top brands in Q2 2022, reporting a 27% year-over-year decline in shipments. Dell had the smallest adjustment to its shipping performance from a year ago, thanks to a commercial/premium focused product strategy. Acer saw a 14.8% drop in shipments from a year ago and ranked fourth in global PC shipments in Q2 2022.
Apple reported a sharp 20% year-over-year decline in its second-quarter shipments, largely due to supply chain disruption in China. It lost its fourth spot in the global PC rankings in Q2 2022. Asus’ Q2 shipments were down 7.7% year-on-year, and its total shipments stood at 4.7 million. It shared fifth position with Apple in Q2 2022.
Counterpoint said: “We are revising our forecast for 2022 PC shipments to a 9% year-over-year decline, with potential bright spots from new MacBook M2s and desktop demand rebounding after post-COVID offices reopen. -19”.