Local PC production skyrocketed as brands Push for government incentives and contracts. | Tech Rasta


India shipped 5.8 million personal computers, including desktops, notebooks and tablets in the first quarter of 2022, according to the latest market research firm Canalys report released on Tuesday. It hit an earlier record of 5.3 million units in the third quarter of 2021.

India surpassed 5 million for the third quarter in a row. The country currently accounts for 5% of global PC shipments, up from 3% in Q1 2020.

The growth is attributed to the expansion of local PC manufacturing, said Canalys research analyst Jash Shah, who said that “18% of all PCs sold in India are now locally made,” which mitigates the impact of “local production”. Events in China on PC Supply in India

Several PC brands, including HP and Acer, announced plans to expand local production last year to meet local demand. Especially to qualify for large government contracts requiring more than 50% of the equipment supplied to be manufactured in India. Last November, Acer announced that the laptops would be manufactured at Dixon’s Noida plant, which will produce up to 500,000 Acer laptops per year.

Shah added that India remains open to high levels of business when most of the country remains locked up. “This helped the economy recover. This creates additional demands for PCs and other IT infrastructures.”

According to Canalys, total PC shipments in the first quarter rose 48 percent year-on-year (YoY) despite pressure on the global electronics supply chain due to the epidemic and constraints in China. Due to the rising number of COVID-19 cases, India has seen an average growth of 44% in PC shipments over the past six quarters.

Tablets are the fastest growing category with 1.6 million shipments growing 69% YoY from commercial orders, especially from the government.

Notebooks grew only 36% YoY, however, with 3.4 million units shipped during the quarter. With so many offices back to work Desktop demand is also growing. The Canalys report shows desktop shipments exceeded 880,000 units, a 64% year-over-year increase.

In terms of overall PC market share, HP leads the market with 1,449,000 units shipped, accounting for 24.9% of market share. The Chinese brand Lenovo is the second leading brand with 1,122,000 units shipped and 19.3% market share. Acer (10.7%), Dell (10%) and Samsung (7.4%) are the other top 5 vendors.

Shah said the Indian PC market will remain strong over the next few quarters. although other markets around the world is expected to slow

After saying that, Shah warned that continued inflation would ultimately affect PC demand.

“With the Reserve Bank of India accelerating the fundamental lending rate This is expected to continue rising throughout the year to combat wholesale inflation. Indebted businesses will feel a crisis. because they have less capital to work with,” he added.

As a result, consumers will stop making purchase decisions. while both small and large companies will stop budgeting and employment This will affect IT purchasing and PC demand.

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