Increasing government spending and availability of ultra low-cost PCs are leading to a dramatic growth in the PC market of the Asia-Pacific region (excluding Japan).

The industry research firm IDC (International Data Corp) has revealed that the personal computers market is witnessing strong growth in the Asia-Pacific region (excluding Japan), as reported by chinatechnews.

The PC market of Asia-Pacific reached about 19 Million units in Q2 2008, a rise of nearly 8% over Q1 2008 and around 15% annual increase as compared to Q2 2007. Also, Singapore recorded an annual growth of about 24% in Q2 of 2008. Lenovo Group with nearly 18.2% of market share remained a leader in Q2 2008, while HP (Hewlett-Packard) and Dell followed it with around 14% and 8.9% market shares respectively.

Increasing spending by the government due to Standard ICT Operating Environment (SOE), which standardized network and desktop components, is a major reason for increase in PC shipments in Asia-Pacific in Q2 2008. Also, emergence of new companies in the field of Electronic Design Automation (EDA) is boosting growth as well as competition in the PC market of Asia.

The availability of ultra low-cost PCs and affordable prices of consumer notebooks in the region is a significant reason for the rise in PC sales as a large number of people are encouraged to purchase PCs at affordable prices. The PC purchasing schemes from various tertiary institutions like polytechnics also boosted the growth in the PC market of Asia in Q2 2008.

However, various issues, such as fuel subsidy and inflation emerging in several Asian countries, are challenging the PC industry of Asia. Also, the PC supplies are likely to be badly affected in the country in Q3 2008 due to increasing Beijing traffic and the Sichuan earthquake, which adversely affected various businesses in the country.

A Research Analyst at RNCOS said, “Rising PC sales in the Asian market positively affected various countries of the region as PC makers are churning profits. However, some issues can lead to a slowdown in PC sales in future. Thus, to sustain the PC sales in Asia, manufacturers should provide highly efficient machines at low cost so that inflation can’t stop the Asian consumers from buying PCs.”

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