Thursday, October 11th 2012

PC Shipments Set to Decline in 2012 for First Time in 11 Years

After entering the year with high hopes, the global PC market has seen its prospects dim, with worldwide shipments set to decline in 2012 for the first time in 11 years, according to the IHS iSuppli Compute Platforms Service at information and analytics provider IHS.

The total PC market in 2012 is expected to contract by 1.2 percent to 348.7 million units, down from 352.8 million in 2011, as shown in the figure below. Not since 2001—more than a decade ago—has the worldwide PC industry suffered such a decline.


"There was great hope through the first half that 2012 would prove to be a rebound year for the PC market," said Craig Stice, senior principal analyst for computer systems at IHS. "Now three quarters through the year, the usual boost from the back-to-school season appears to be a bust, and both AMD and Intel's third-quarter outlooks appear to be flat to down. Optimism has vanished and turned to doubt, and the industry is now training its sights on 2013 to deliver the hoped-for rebound. All this is setting the PC market up for its first annual decline since the dot-com bust year of 2001."

From Hope to Disappointment
The year started off with major hope for Intel's ultrabooks at the annual Consumer Electronic Show (CES) in Las Vegas. New and innovative form factors like convertibles, combined with the first appearance of Windows 8 demos on display, provided a fresh wave of enthusiasm for the possibility of a revitalized PC market. Even when first-quarter PC shipments came in, the less-than-stellar results were thought to be a minor setback.

The high expectations continued midyear during the big PC event at Computex in Taiwan, as Intel plugged its latest Ivy Bridge processor. Shipments during the second quarter, however, once again disappointed.

For now, important questions remain for the PC market and the rest of the year:

● How much impact will Windows 8 really have toward boosting the PC market in the fourth quarter?
● Will continuing global economic concerns neutralize whatever hype or interest has been generated by ultrabooks?
● Will mobile computing gadgets such as tablets and smartphones win over PCs during the crucial holiday selling season, taking precious consumer dollars and keeping PC sales at bay?

There are signs that a strong rebound could still occur in 2013. While IHS has reduced its forecast for them, the new ultrabooks and other ultrathin notebook computers remain viable products with the potential to redraw the PC landscape, and the addition of Windows 8 to the mix could prove potent and irresistible to consumers. Whether a newly configured PC space could then stand up to the powerful smartphone and tablet markets, however, remains to be seen.
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39 Comments on PC Shipments Set to Decline in 2012 for First Time in 11 Years

#1
1Kurgan1
The Knife in your Back
by: Raw
Tech savvy...lol. What tech? The term is way too loosely used.
I never did get that in my head.
If you can plug in a toaster in a wall socket, you can build a computer.
Drop in a couple plug in items into a board and plug it in a wall. TECH!! BINGO, look Ma, I'm a techie. You can be so proud of me now.

Ahhh. I think I woke up in a lousy mood, sorry.
I'll go get some coffee now and re-think what I said.

:eek:
Building a computer is like a simple childs puzzle. I've told many people that, but it still makes them afraid. Then understanding how to get it all working, putting Windows on, Drivers, and other things, it scares people, they don't like the idea of gambling with that much money.
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#2
Ikaruga
by: 1Kurgan1
Building a computer is like a simple childs puzzle. I've told many people that, but it still makes them afraid. Then understanding how to get it all working, putting Windows on, Drivers, and other things, it scares people, they don't like the idea of gambling with that much money.
I dealt with so many clueless people in my life who were picking up nice salaries each month and they were such a confident techies you would be surprised.
They built systems with horrible airflows and brutal noise output for offices without air-conditioning and where noise should have been avoided as much as possible.
Than they installed Windows in such ways the the boot time tripled just in half a year from simple every day office usage, not to mention how horrible slow those systems were compared to the capabilities of the given hardware. The continuously happening crashes, the complete lack of the configuration of self maintenance and/or backup of the operating system. The troubles when users tried to open - otherwise commonly used - files from the Internet. etc etc.. "Horror" stories if you want to put it simply.

I'm not saying that dealing with computers is rocket science, but it's also not for everyone because learning and practice makes permanent, and experience pays off, and both needs a great deal of dedication and patience, (and some passion too if you want to do it the right way).
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#3
Raw
My point...the economy today

by: Ikaruga
Your SB and Kepler will do just fine for a very long time, don't worry about them. You can - of course - allways spend thousands on new hardware which will be 10% faster, but that doesn't mean that they "became passe".
I'm not worried at all, that is the point of my input. I know my stuff will do just great for years to come.
Hell, I still use E8400's on some of my machines with old tech GPUs like GTX285s and AMD 4870s. Those machines are still fairly quick for what I use them for.

The point I make is really about the economy today and the unnecessary spending of money on computers and parts. I am starting to think the personal computers days are numbered due to the iphones and tablets, etc. and the companies trying to grab the last bucks from the consumers is starting to wane. I don't even know a teenager now that talks about pcs.
They don't have an interest, they tell me.
They tell me I am a dinosaur and I need to get with what's happening today. Phones and pads.

And if that is the case I bet it will start crashing hard, like a snowball rolling downhill.
When the mfgs. start seeing sales drop hard they will stop investing in that tech. It's all business. It's simply profit margin. And if the money is in other tech that's where the development money will go.
There will be no margin for the R&D for the super high tech pc parts. There is the demise, no R&D, no mfg.

It was fun...
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#4
mediasorcerer
Iv'e been thinking about this topic, and it's occured to me that this may not be true, or the real picture, this is almost like an attempt at reality projection, the situation may have temporarily slowed, so what, everything runs in cycles, no offence, just my thoughts, im calling bs, it's just not growing as quickly at the moment, and that will change.
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#5
TheMailMan78
Big Member
by: MxPhenom 216
I knew "Desktop" PCs were going to be phasing outm but I didn't think they would this fast.
Told ya. TOLD EVERYONE!
Posted on Reply
#6
Ikaruga
There will be always demand for high end computers, the question is that how many will want/use those=]
by: Raw
Hell, I still use E8400's on some of my machines with old tech GPUs like GTX285s and AMD 4870s. Those machines are still fairly quick for what I use them for.
I know what you mean. One of my machines is also a dual-core with a 550ti (I know it's one of the worst cards, but I bought it for $80, and that makes it my best buy ever), and that's the rig I use the most.
I built it dead silent and it runs quite well all the games I play (I just finished the crappy ME3 last weekend and it played fluid maxed out in 1080p). Well I don't play bf3 on it, but it's 5 years old and still enough for most of the things I need my computer for, so yea.... :toast:
Posted on Reply
#7
MT Alex
by: TheMailMan78
Told ya. TOLD EVERYONE!
Yes, take Phenom's word for it.
Posted on Reply
#8
TheMailMan78
Big Member
by: MT Alex
Yes, take Phenom's word for it.
It was my word. Everyone said I was crazy. Proof is in the puddin'!
Posted on Reply
#9
MT Alex
Well, the cow has to die before the buzzards show up:laugh:
Posted on Reply
#10
ZenZimZaliben
1.2 percent...Not exactly the end of the computing era.
Posted on Reply
#11
TheMailMan78
Big Member
by: MT Alex
Well, the cow has to die before the buzzards show up:laugh:
Sounds like mountain talk to me. I'm a simple southern boy.
Posted on Reply
#12
niko084
by: 1Kurgan1
While this may seem bad, I think a lot of it is that people are more tech savvy now, and many build their own computers.
When Intel and AMD shipments are down it's not because more people are building.

More people have computers and with most peoples use being so simple they don't require upgrades as often, not to mention parts fail less often. Now there is also a large and growing drive to get people off computers and back out into the world doing things like exercising...

Economical state should be taken into consideration here as well... I'm still working miracles to save companies a few grand here and there so they can continue to operate until business picks back up. I've been turning old servers into VM's running on high powered desktops on top of a hypervisor because they can't afford new licensing or a new "server" but have an old one that's dying.

All in all, it's hurting my business :(
Posted on Reply
#13
TheMailMan78
Big Member
by: niko084
When Intel and AMD shipments are down it's not because more people are building.

More people have computers and with most peoples use being so simple they don't require upgrades as often, not to mention parts fail less often. Now there is also a large and growing drive to get people off computers and back out into the world doing things like exercising...

Economical state should be taken into consideration here as well... I'm still working miracles to save companies a few grand here and there so they can continue to operate until business picks back up. I've been turning old servers into VM's running on high powered desktops on top of a hypervisor because they can't afford new licensing or a new "server" but have an old one that's dying.

All in all, it's hurting my business :(
Tablets. Expand into tablets.
Posted on Reply
#14
niko084
by: TheMailMan78
Tablets. Expand into tablets.
That is there as well, along with smart phones... However in my experience with my customer base at least, people who want the tablets are using them in conjunction with a desktop and use them as toys for children primarily, I have a few medical offices that use them for records and such.

I think however... AMD and Intel should get into ARM before it's too late, well maybe not AMD they can't seem to do much right lately :P
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