PC shipments picking up in US

NEW YORK: Following "sluggish" first half growth, US shipments of

personal computers are expected to increase in the third quarter, research firm

International Data Corp said in a report released Thursday.

IDC revised its forecast of third-quarter US sales upward to almost 13

million units, representing a 10.6-per cent gain year-over-year.

"US home PC volume is expected to improve based on back-to-school

sales," said IDC group vice president Bruce Stephen.

The United States joins a global pick up in PC shipments, which should reach

33.4 million in the fourth quarter, IDC said, an 18.5 per cent increase over the

year-ago period.

IDC saw "heated growth" in the Asia-Pacific and the Japanese

markets for consumer desktops and portable PCs.

Vendors strongly positioned there, such as Compaq Computer Corp., Dell

Computer Corp., Hewlett-Packard Co. and Gateway Inc. are poised to benefit from

the year-on-year growth of 36 per cent in Asia and 35 per cent in Japan.

Japan's strong performance was tied to consumer PC consumption and an ongoing

recovery in the commercial market.

Western European markets, where Internet demand and retail packages should

spur fourth quarter gains, are expected to post 14.5 per cent growth

year-over-year. IDC also reported an anticipated recovery in European commercial

sales.

(C) Reuters Limited 2000.