Political instability could hit PC market: IDC

BANGALORE: Although the personal computer market continues to remain steady in India, international research agency, International Data Corporation

(IDC), believes that political instability in the country, as well as in Indonesia and Malaysia, could inhibit the future expansion of the PC market in the Asia-Pacific region.

According to IDC, the global PC market is projected to register a growth of 24.8 per cent in volume for the September-December quarter (Q3) this year over the previous corresponding period. Compared to the previous quarter this year, volume is expected to grow at 7.2 per cent.

On the Asia-Pacific scenario, IDC noted that ``the geographic growth pistons in the region -- India, China, Korea and Australia-- will again drive growth in this quarter.'' Previous data on India for the April-June period showed that India had witnessed a 50 per cent growth in PC sales over the corresponding period, aggregating Rs 1,192 crore. Economic resurgence in the Asia/Pacific region (barring Japan) is expected to propel growth in PC market here by 34.3 per cent.

Japan had in the previous quarter exhibited the fastest year-over-year growth rate, 39 per cent. Internet shopping and interest in small form factor desktop PCs will all contribute to a projected growth rate of 32 per cent for Japan this quarter. The United States and Western Europe are also expected to show a big demand for PCs. In Western Europe, growth for this quarter is pegged at 16.3 per cent. For the United States, IDC expects a growth rate of 28 per cent over the same quarter last year.

As far as PC vendors are concerned, the IDC study pointed out Dell, Compaq, IBM, Gateway and Apple are vendors that seem to have the ``right stuff'' for growth this quarter. According to IDC, the key to vendor growth this quarter is related to strategic alignment with growing consumer and small-business segments, Internet strategies and the ability to deliver portable PCs.