Middle East PC market returns to moderate positive growth

Published October 25th, 2002 - 02:00 GMT
Al Bawaba
Al Bawaba

PC shipments grew by 3.3 percent in Europe, Middle East, and Africa (EMEA) in the third quarter 2002 compared with the same quarter last year. In line with forecasts, the market returned to moderate positive growth, against -9.4 percent recorded in the third quarter last year, reported IDC

 

Cautious attitudes continued to prevail in the corporate sector, and although essential renewals are taking place, driving both desktop and notebook sales, signs of a major recovery remain limited. Sustained demand from small and medium businesses continued to help limit volume erosion. 

 

On the consumer side, demand for notebooks remained strong, while a rebound in desktop sales contributed to a return to healthier trends. Aggressive pricing in the retail channel helped stimulate purchases during the back-to-school season. 

 

Notebooks continued to display healthy growth and remain a key area of intense competition between vendors. Mobile products will continue to represent the largest growth opportunity in EMEA as wireless developments and a rebound in corporate rollouts drive stronger double-digit growth in 2003. 

 

Intense vendor competition and continued price pressure across all market segments contributed to drive volumes, despite an adverse impact on industry margins. The new HP maintained clear leadership in EMEA and displayed a healthy performance considering the current completion of the merger, weak economic conditions, and intense vendor competition in both the business and consumer markets.  

 

Dell continued to outperform the market and consolidate its number two position in EMEA. The direct vendor continued to maintain pressure on the corporate market as well as expand into the SMB and consumer markets.  

 

Fujitsu Siemens displayed a healthy quarter, returning to positive growth across all form factors, with strong performance especially in the notebook and Intel server markets. Good product positioning, strong back-to-school sales, improved distribution channel strategy in the SMB market, and continued focus in the mobile computing space contributed to the vendor performance in the region. 

 

IBM recorded sustained results during the third quarter. Affected by weak corporate demand, IBM however continued to address the SMB market very successfully. Strong performance in the commercial notebook market with over 15 percent growth was driven by strong product and price positioning, as well as an effective go-to-market strategy in both the corporate and SMB markets. 

 

Acer displayed another strong quarter in EMEA, consolidating its position in the overall ranking. Continued and successful focus on the SMB and notebook markets, as well as a close relationship with its channel partners are among the major contributing factors for Acer’s success. — (menareport.com)

© 2002 Mena Report (www.menareport.com)