Computer prices are down, along with demand, data shows
Computer prices are down, along with demand, data shows
Demand for computers is down. And so are shipments of PCs, according to new data from two different firms.
Gartner said computer shipments are down almost 20% year over year; International Data Corp. said they’re down 15%.
The last two years have been a roller coaster for a lot of companies, including those that make computers.
“Now it’s more heading towards the downturn of that ride,” said Ryan Reith with the IDC.
He said earlier in the pandemic, there was a big spike in demand for PCs, when so many people were working from home, going to school from home and just staying home all the time.
“But the huge growth we saw over the last two plus years is coming to a big-time slowdown,” he said.
Some of that is because many people have newish computers now and don’t need to replace them yet.
“It’s also true that there are other things that are putting pressure on demand,” said David Garfield at AlixPartners.
What’s happening in the economy more broadly, he said, is also a big factor.
“Consumers see and feel inflation. Businesses do as well,” Garfield said. “And so people are a little less willing to part with their cash if they don’t have to.”
If they don’t really need new electronics, they’re not buying them now.
Mikako Kitagawa, an analyst at Gartner, said that isn’t great for companies that make and sell computers.
“Because right now, inventory of PCs are very high,” she said.
There are a whole lot of laptops and desktops sitting on the shelves in stores and warehouses that businesses are trying to clear out.
Sucharita Kodali at Forrester said that’s good for anyone who is in the market for a computer.
“If you have an interest in purchasing these products, go shop around,” said Kodali. “You should be getting a great deal.”
Computers and other electronics, she said, are some of the only things that are actually cheaper right now than they were a year ago.
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