AI Innovation Spurs Modest Revival in Global PC Market

The worldwide market for traditional PCs has shown signs of revival in the first quarter of 2024, according to IDC. After experiencing a downturn for two consecutive years, the market witnessed a slight growth of 1.5% year over year, with shipments reaching 59.8 million units. This uptick comes after a significant 28.7% decline in the same quarter of the previous year, marking one of the most challenging periods in PC history. Remarkably, the volume of shipments in the first quarter of 2024 nearly matched the pre-pandemic figures of 60.5 million units from the first quarter of 2019.

Source: IDC

The recent drop in inflation has played a critical role in the recovery of PC shipments, particularly in the Americas and Europe, the Middle East, and Africa (EMEA). However, challenges persist in China, the world’s largest market for desktop PCs, where deflationary pressures have continued to dampen demand. This, in turn, has contributed to a decline in global desktop shipments, despite the growing preference for notebooks.

IDC’s analysts remains optimistic about the future, citing the anticipated launch of AI-powered PCs and the expected renewal of commercial computers purchased during the pandemic as key drivers for sustained growth. These new AI-enabled models are not only anticipated to boost shipments but are also expected to come with higher price points, offering an additional opportunity for manufacturers and component suppliers.

As for vendors, Lenovo has maintained its leadership position, with growth that outpaced the overall market. Apple has also seen significant growth, benefiting from a similar rebound from previous lows.

Company1Q24 Shipments1Q24 Market Share1Q23 Shipments1Q23 Market Share1Q24/1Q23 Growth
HP Inc12.020.1%12.020.4%0.2%
Dell Technologies9.315.5%9.516.1%-2.2%
Acer Group3.76.2%3.45.7%9.2%
Companies, worldwide traditional PC shipments, market share, and YoY growth, Q1 2024 (preliminary results, shipments are in millions of units). (Source: IDC)