Global IT research and advisory firm Gartner has revealed that the Indian PC Market grew by a solid 17% in Q2 2012. Lenovo maintained top market share and accounted for 16.6% of PC shipments in India during the period May to June 2012.
Lenovo’s market share for Q2 2012 was nearly 60% higher than in Q2 2011. According to Gartner, the quarter saw a ‘substantial part’ of the order for Lenovo’s ELCOT deal with the Tamil Nadu government being executed. These shipments helped the Chinese company to retain top spot. As per a similar survey by IDC, Lenovo toppled Dell for the first time in terms of market share in the Indian PC market in Q1 2012.
India PC Market Share for Q2 2012 [Estimates]
| Vendors | 2Q12 Market Share (%) | 2Q11 Market Share (%) |
| Lenovo | 16.6 | 10.4 |
| Acer | 13.4 | 12.1 |
| HP | 13.1 | 11.2 |
| Dell | 12.9 | 16.7 |
| HCL | 5.6 | 6.6 |
| Others | 38.4 | 43 |
| Total | 100 | 100 |
Taiwanese hardware and electronics manufacturer Acer grabbed 13.4% of the total PC shipments in India during the quarter. This signified a 10.7% increase in Acer’s share of the market as compared to the same period last year. HP’s share jumped nearly 17% from 11.2% to 13.1%.
On the other hand, Dell’s market share reduced by more than a fifth to 12.9% as compared to 16.7% in Q2 2011.
Dell’s slide from the top began late in 2011 barely 12 months after it announced on its websitethat it had become the number one PC brand in India with the highest market share. Lately, the American tech giant has been facing growing competition from Asian players including Lenovo and Acer.
The latest version of Windows is expected to be launched in the later part of October. Commentators are slating a revival for Dell after the launch because of the assumption that consumers will hold off on new purchases and wait, so that their machines come loaded with the latest version of the OS.
While that assumption is not baseless, it is important to remember that other PC manufacturers will also be armed with the latest version of Windows.
Consumers and end users will always have the choice of picking between Dell and its rivals including Lenovo, Acer, HP, HCL and a line of other smaller players eyeing a bigger share in the Indian PC market.
With Diwali coming up in November, the PC market is expected to continue showing momentum in the near future.
Gartner believes that gifting during festivals along with subsequent shipments for the ELCOT deal will lead to further growth in the market. The study also reports a 25% growth in consumer purchases, which amounted to 50% of total PC shipments in Q2 2012.
From a long term perspective, it is unclear how the PC market will shape up when the average Indian turns to tablet as the primary computing device. In the west, there has been a lot of talk over the years, that tablets will replace traditional PCs. However that hasn’t happened yet.
Michael Dell, Chairman and CEO, Dell, likes to believe that tablets will ‘actually do different things’, and are unlikely to completely replace PCs. The iPad posses less of a threat to PCs in the Indian market at least for now, because of its hefty price tag.
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