Original URL: http://www.theregister.co.uk/2000/07/24/pc_sales_disappoint_analysts/

PC sales disappoint analysts for Q2

Chip shortages blamed

By Linda Harrison

Posted in Business, 24th July 2000 10:41 GMT

Worldwide PC shipments slipped below forecasts for the second quarter, market researchers revealed today.

Shipments rose 14.5 per cent from the previous year, according to IDC, which had predicted growth would top 15 per cent. Dataquest put the figure slightly higher, at 18 per cent, but this was still below its forecast of 18.5 per cent.

Demand in the US dragged behind growth in worldwide sales - Dataquest put US growth at 12 per cent in the quarter, while IDC said the sector saw an increase of just 7.2 per cent.

The figures were put down to chip shortages and unusually high demand for free or cheap PCs in the US the previous year - PC sales in the US jumped 29 per cent in Q2 in 1999, according to Dataquest.

According to IDC, Dell and Hewlett-Packard performed best in Q2 - Dell saw worldwide shipments grow 22 per cent to give it 11.5 per cent of the world market share. Its US shipments increased almost 27 per cent, to give it 19.5 per cent of the market.

HP's market share also received a boost - it gained 7.5 per cent of the worldwide market after shipments grew 34 per cent. In the US, HP shipments rose 45 per cent to give it 10.4 per cent of the market.

Meanwhile, Compaq's shipments rose 6.1 per cent worldwide, but its share of the market fell to 13.2 per cent from 14.3 per cent the previous year. Its US shipments dropped 5.6 per cent, IDC said.

"Shortages had a negative impact on the second quarter, and it will be an issue in the third quarter, too," Anne Bui, an IDC analyst, told Bloomberg. ®

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