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IDC Q2 Results


IDC Q2 Results

IDC's preliminary Q2 2003 results show that the PC market in New Zealand reached 123,433 units in Q2 2003. This is a 30.2% growth from Q1 2003 and a 30.4% increase from the same quarter the year before.

The portables market in particular experienced a tremendous year-on-year growth in shipments, of 79.5%. In 2003, the Ministry of Education's 'Laptops for Secondary School Teachers Scheme' has contributed to the strength of the portables market.

However, IDC is also seeing demand for portable PCs grow strongly in both the consumer and commercial segments. Mobility is the word of choice for 2003 as companies and individuals take advantage of price, performance, and longer battery life brought by new processor architectures, and integrated wireless LAN on motherboard. The launch of tablet PC notebooks in Q4 2002 and then Intel's new Centrino architecture in Q1 2003 has also boosted the promotion of mobility within the New Zealand workforce.

"During Q2 2003, the strength of the New Zealand dollar against trading partners such as the US and Australia, has allowed PC vendors to compete aggressively on pricing in both the desktop and notebook markets. Competitive pricing has been a key driver for both commercial and consumer spending during the Q2 2003 period", said Sonja Olsson, Senior Analyst, Hardware Research.

Q2 is usually the strongest quarter of the year for PC purchasing, as it is the beginning of the financial year for many New Zealand businesses, as well as for the government – therefore, budgets are refreshed, and corporate spending increases.

Q2 Market and Vendor Highlights

HP maintained it's position as market leader for the total PC market, with a 39.3% units market share. With successful promotions in both the consumer and commercial space, HP captured first position in the portables market from Toshiba, who experienced a strong Q1 due to a significant win to the Ministry of Education. HP also continued to lead in both the desktop and x86 server markets during Q2 2003. IBM reclaimed second position in the overall PC market from Toshiba, experiencing success with a number of wins to the commercial space. In particular, IBM boosted the x86 server market, with its shipment of blade servers to Weta Digital. Third and fourth positions were held by Dell and Toshiba respectively, with Acer rounding out the top five.

Outlook

Over the next twelve months activity will continue to be stimulated by the post-Y2K refresh cycle in the business market. IDC expects 2003 will display stronger notebook shipments than ever before. "With desktop replacements beginning, the move towards mobility, and declining prices, the PC market should expect to see an increase in shipments over 2002, yet maintain constant revenues" said Sonja Olsson. Looking forwards, the New Zealand economy and political environment will continue to influence IT hardware purchasing. Therefore, the slow global economy may continue to be an inhibitor to a more significant recovery in both the New Zealand economy and subsequently, the PC market.

About IDC:

IDC is the premier global market intelligence and advisory firm in the information technology and telecommunications industries. We analyze and predict technology trends so that our clients can make strategic, fact-based decisions on IT purchases and business strategy. Over 700 IDC analysts in 50 countries provide local expertise and insights on technology markets. Business executives and IT managers have relied for 40 years on our advice to make decisions that contribute to the success of their organizations.

IDC is a subsidiary of IDG, the world’s leading technology media, research, and events company. Additional information can be found at www.idcresearch.co.nz


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