In the third quarter of 2023, the PC market showed signs of improvement, with the decline in shipments slowing down. However, the biggest surprise came from Apple, which experienced a sharp decline of over 23% in its PC sales.
Key Takeaway
Despite an overall decline in PC shipments, the PC market showed signs of improvement in Q3 2023. However, Apple experienced a significant loss of over 23%, becoming the hardest hit among PC manufacturers. The future of the PC market may lie in the adoption of AI-capable PCs, which Canalys predicts will account for approximately 60% of all shipments by 2027.
Overall Market Numbers
According to the data reported by IDC, Gartner, and Canalys, the PC market experienced a decline of 7% to 9% in Q3 2023. IDC reported a 7.6% drop with 68.2 million PCs shipped, Gartner reported a 9% decline with 64.3 million units shipped, while Canalys found a market decline of 7% with 65.6 million units shipped.
Despite the decline, industry experts believe that the PC market’s downward trend may be reaching its bottom, with a potential recovery in the upcoming holiday shopping season. Gartner’s Mikako Kitagawa stated, “There is evidence that the PC market’s decline has finally bottomed out.”
However, IDC’s Jitesh Ubrani cautioned that while the industry might be on a slow path to recovery, there would still be challenges ahead. Ubrani mentioned that a device refresh cycle and the end of support for Windows 10 could positively impact sales in the second half of 2024 and beyond.
Apple’s Plunge
Among the PC manufacturers, Apple faced the most significant decline in Q3 2023. According to IDC’s report, Apple experienced a decrease of 23.1%, while Gartner reported a decline of 24.2%, and Canalys reported a staggering decline of 29.1%. The only other company to see double-digit reductions was Asus with declines of around 10%.
On the other hand, HP was the only company in positive territory, with IDC and Gartner reporting an increase of 6.4% and Canalys reporting a slightly higher percentage of 6.5%.
The Future of the PC Market
Looking ahead, Canalys’ Kieren Jessop sees the adoption of AI-capable PCs as a significant driver for the PC market in the coming years. Jessop predicts that by 2027, around 60% of all PCs shipped will be AI-capable. Vendors and channel partners who take advantage of this opportunity can benefit not only from the higher prices these devices command but also from the wider opportunities to provide services and solutions alongside hardware.
