Worldwide PC shipments reached 82.9 million units in Q2 2010, a 21 per cent increase from Q2 2009, according to preliminary results by US IT research firm Gartner. It had expected second quarter PC shipments to grow 19.3 per cent.

"The preliminary second quarter results indicate ongoing improvement of the PC market, and it marks the third consecutive quarter of double-digit growth on a year-over-year basis," said Mikako Kitagawa, principal analyst at Gartner. "End-user spending grew approximately 13 per cent in the second quarter. Average selling prices (ASPs) continue to decline, but at a much slower rate compared with the last two years."

"Mini-notebook shipment growth slowed significantly in the second quarter of 2010," Kitagawa said. "Mini-notebook shipment growth still exceeded growth rates of the overall mobile PC market, but mini-notebook growth slowed to the low 20 per cent range compared with more than 70 per cent in the last two quarters. This slowdown indicates that mini-notebooks are entering a mature growth stage."

HP maintained its worldwide lead in PC shipments (see Table 1), but its growth rate was below the industry average as the company tried to protect margins in key regions. For example, HP did not participate in the aggressive pricing that was seen in Asia/Pacific. HP also underperformed in Europe, the Middle East and Africa (EMEA) with weak professional mobile growth.

Acer (Taiwan) continued to record strong shipment growth worldwide, fueled by solid PC sales in EMEA and Asia/Pacific. Dell registered its second consecutive quarter of double-digit growth. Uptake in the professional PC market secured Dell's PC business, but the consumer market was still a challenge for the company.

Lenovo's (China) PC shipments increased 47.2 per cent in the second quarter of 2010, but there were some concerns over profitability as Lenovo was aggressive on pricing in key regions. ASUS (Taiwan) had the strongest growth rate among the top five vendors worldwide in the second quarter, as its shipments increased 78.5 per cent. ASUS was able to mix its product lineup from mini-notebooks and focused on selling more standard mobile PCs for better margins.

In the U.S., PC shipments surpassed 17.9 million units in the second quarter of 2010, a 16 per cent increase from the same period last year (see Table 2). The professional PC market received a boost from the PC refresh cycle. The professional PC market growth was driven by healthy seasonal demand from the public sector despite the budget deficit issues. Small and midsize businesses (SMBs), as well as large enterprises, are expected to ramp up in the second half of 2010.

Table 1
Preliminary Worldwide PC Vendor Unit Shipment Estimates for 2Q10 (Thousands of Units)

Note: Data includes desk-based PCs and mobile PCs.
Source: Gartner (July 2010)

"The consumer PC market registered double-digit shipment growth, but consumer mobile shipment growth slowed. This was due in part to slower growth of mini-notebooks," Kitagawa said. "Surging popularity of Apple's iPad temporarily cannibalized mini-notebooks, as well as consumer notebook sales to some degree. It is not certain at this stage if the cannibalization will continue with the current price point of media tablets."

HP continued to be the industry leader in the U.S. PC market in the second quarter of 2010. Dell maintained the No. 2 position, supported by its sales into the professional PC market. Acer experienced flat growth due to slowing sales of mini-notebooks and low-end notebooks. Gartner's early study indicated that Apple recorded strong Mac shipments with no signs of iPad cannibalization. Gartner's PC group does not track media tablet sales in this PC shipment data, so iPad sales are not included in these results.

Table 2
Preliminary U.S. PC Vendor Unit Shipment Estimates for 2Q10 (Thousands of Units)

Note: Data includes desk-based PCs and mobile PCs.
Source: Gartner (July 2010)

In the second quarter of 2010, PC shipments in EMEA totaled 24 million units, an increase of 21.6 per cent, signaling continued strength of the EMEA PC market despite uncertain economic conditions. The professional market has been more affected by the economic conditions, but also by unit price increases, due to component pricing and exchange rate pressures. Central Europe was the fastest-growing segment, driven by strong demand from Russia as the country recovers after the dramatic downturn in 2009, followed by Western Europe and the Middle East and Africa.

In Asia/Pacific, PC shipments surpassed 27.8 million units, up 25.4 per cent from the second quarter of 2009. Markets in the region were off to a slow start in the quarter with news of economic uncertainties in Europe due to the credit crisis. However, the impact was limited, and market sentiment improved, releasing pent-up demand for PCs from late May onward.