Shipments of personal computers (PCs) plunged in the first quarter, dragged down by weak demand, excess inventory, and concerns about macroeconomic conditions.
That’s according to technology research firm IDC, which reported global shipments of PCs in the first three months of 2023 totaled 56.9 million, a 29% decline from the same period last year.
IDC explained that the drop brought shipments in line with levels last seen just before demand soared during the pandemic, as lockdowns led employees and students to upgrade their machines for remote work and school.
Apple posted the largest annual slide among the top PC makers, with shipments of its computers slumping 40.5%. It was followed by Dell Technologies (-31%), Lenovo (-30.3%), ASUS (-30.3%), and HP (-24.2%).
Too Much Inventory
"While channel inventories have gone down in the last few months, they're still well above the healthy four-to-six-week range," said Jitesh Ubrani, research manager at IDC. He added that even with big discounting, channels and PC makers can expect elevated inventory levels to last into the middle of the year and possibly even into the third quarter.