HP Leads the Way with 6% Growth in PC Market Amidst Overall Decline – Q3 2023 Report
In the face of an overall decline in the PC market, HP has emerged as the leader, experiencing a remarkable 6% growth in the third quarter of 2023, according to a recent report by Counterpoint Research. This achievement is noteworthy considering that the overall PC market witnessed a 9% year-over-year fall in the same quarter.
Counterpoint Research attributes the decline in the PC market to weak demand from both consumers and enterprises. However, they do mention that global shipments were boosted by moderate seasonality, resulting in sequential growth in the quarter ending in September 2023.
Lenovo, the top-ranked vendor, saw a 5% decline in shipments during this period, while HP secured the second position with its impressive growth. Dell ranked third with a 14% fall in shipments, followed by Apple and Asus, whose shipments declined by 18% and 13% year-over-year in Q3 2023, respectively.
Counterpoint Research emphasizes that Tier 1 PC vendors such as Dell, Apple, and Asus struggled to find strong drivers to boost shipments across the board. However, they express optimism for the future, stating that the first replacement cycle after the COVID-19 pandemic, alongside the potential rise in AI PC momentum in 2024, could provide a much-needed boost.
The research firm anticipates that AI PCs will be the driving force behind the rebound in PC shipments next year. They project that AI PCs will achieve a 50% 10-year CAGR from 2020 and will dominate the market after 2026 with a penetration rate exceeding 50%.
Counterpoint Research also highlights that major PC CPU makers like Intel and Qualcomm are working closely with PC OEMs to develop next-generation mainstream models. As a result, they anticipate a plethora of new product launches from Q4 2023 onward.
We expect the global PC market’s shipment volume to return to pre-COVID-19 levels next year, driven by the Windows 11 replacement, the rise of Arm PCs, and AI PCs, said Counterpoint.
Although AI PCs may initially face limited traction, the research firm believes that with the increasing number of applications worldwide, AI PCs could make tremendous progress in the second half of 2024.
With HP leading the way in the PC market growth, despite the overall decline, it is evident that the company has successfully managed to navigate the challenging landscape. As the industry prepares for the next wave of technological advancements, the stage is set for a significant resurgence that could reshape the global PC market.