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Indian PC Market Faces Fourth Consecutive Quarterly Decline

The Indian PC market has recorded a continuous decline for the fourth consecutive quarter, marking a drop of more than 15% in year-on-year figures. During the second quarter of 2023, a total of 3.2 million units, comprising desktops, notebooks, and workstations, were shipped within the Indian PC market.

Indian PC Market

All About the Indian PC Market Decline

According to the report by the International Data Corporation (IDC), even though the Indian PC market experienced a quarterly growth of 5.4%, it witnessed a substantial 15.3% year-on-year decrease.

This declining trend was evident across all segments during Q2 2023. Notably, the notebook category, which holds the largest market share, observed an 18.5% year-on-year decrease. Similarly, the desktop category faced a 7% year-on-year decline. Both the consumer and commercial segments also saw drops of 17% and 13.8% year-on-year respectively. In contrast, the premium notebook category recorded a 30.7% year-on-year decline but experienced a significant 39% growth in Q2 2023 compared to the same period in 2022.

image 422 Indian PC Market Faces Fourth Consecutive Quarterly Decline

Bharath Shenoy, a Senior Market Analyst at IDC India, observed that there are indications of a revival in the Indian consumer PC sector, attributed to the enhanced market outlook. Despite a year-on-year double-digit decline, it demonstrated robust double-digit growth on a quarter-to-quarter basis, credited to effective college campaigns by PC vendors. The government-driven education sector demonstrated an impressive 43.7% growth, driven by orders from states like Madhya Pradesh, Gujarat, and Tamil Nadu.

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Among PC manufacturers, HP retained the top position in the market with a 31.1% share in Q2 2023, up from 30.8% in Q2 2022. Lenovo secured the second position with a 16.2% market share, compared to its 19.6% share in Q2 2022. Conversely, Dell experienced a substantial decline in market share, dropping to 15.3% in Q2 2023 from 21.6% in Q2 2022.

image 423 Indian PC Market Faces Fourth Consecutive Quarterly Decline

Analysts anticipate that the sales performance in Q3 2023 will be more positive. A contributing factor to this optimism is the forthcoming import restrictions set to take effect in November 2023. With this development, analysts project that vendors will work to clear channel inventory in both the consumer and commercial segments, aiding the recovery of the PC market that has been sluggish in recent quarters due to delayed procurement by enterprises and SMEs.


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