According to Gartner, EMEA PC shipments see some growth in Q1 2018-- specifically by 1.7% Y-o-Y, to total 18.6 million units, thanks to the enterprises starting implement "many" previously delayed Windows 10 projects.
Further boosting hardware growth, at least from the enterprise side, is the fast approach of the compliance deadline for the European General Data Protection Regulation (GDPR). One also has to keep in mind reports of cybersecurity breaches making security a strong priority in the hardware refresh cycle. Eurasia remains a bright spot in EMEA, as Q1 2018 demand is strong in countries such as Russia, Ukrain and Kazakshtan.
However, on a global level Q1 PC shipments are down by -1.4% Y-o-Y to 61.7m units, making a 14th consecutive quarter of decline (starting from Q2 2012, as per Gartner). The main reason for the Q1 2018 decline is China, although the US also sees a shipment drop of -2.9% Y-o-Y. In addition, vendors are cautious in overstocking due to the Q2 2018 release of new PCs carrying 8th generation Intel Core processors.
The top 3 vendors-- HP, Lenovo and Dell-- account for 56.9% of Q1 2018 global PC shipments, an increase from the 54.5% of Q1 2017. Dell sees the strongest growth at 6.5% Y-o-Y, while shipments for PC leader HP reaches 2.8% Y-o-Y. THat said, HP records double-digit desktop and mobile PC growth in EMEA.
Lenovo shipments are up by 6% Y-o-Y in EMEA, but results for the company are flat on a global basis.
Currently the market is also seeing an increase in ASPs. Following the deceleration of the smartphone market and uncertainty in PC replacement demand, component makers remain cautious about expanding production capability, leading to component shortages and a rising bill of materials. As such, the increasing costs of components such as DRAM are being passed on to the consumer, as PC vendors look to get the highest profit margin from each sale.
