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Global PC, mobile, and tablet shipment to decline by 4.4% in 2023: Gartner
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Global shipment of electronic devices including mobile phones, tablets, and PCs will continue to decline for the second consecutive year in 2023 as consumer spending will remain low throughout the year due to the economic downturn, according to Gartner’s latest projections, released on Tuesday.
Gartner expects the devices’ shipment to fall by 4.4% this year to reach a total of 1.7 billion units as end-user spending is expected to decline by 5.1%. PC will remain the most impacted segment with a projected decline of 6.8%, while mobile phones and tablets will decline by 4% and 2.9%, respectively.
Though shipments will fall, it is expected to be in the single digit as compared to last year when total device shipment fell by 11.9% while laptops fell by 16%.
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Analysts believe that the economic uncertainty and the fear of inflation will continue to impact demand in both consumer and enterprise segments for most of this year.
“Just as business confidence was beginning to recover after the worst of the pandemic, it has now fallen significantly in most regions. We do not expect relief from inflation and the bottom of the recession to occur until the fourth quarter of 2023,” said Ranjit Atwal, senior director analyst at Gartner.
Atwal believes that PC inventory levels will return to normal by the second half of 2023, He pointed out that many vendors overestimated the demand and ended up with higher inventory last year. In the smartphone segment, demand will remain low as many buyers will continue to hold on to their smartphones for longer than usual. Also, vendors are expected to pass on the inflationary pressure on consumers which will keep the prices high.
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Firms across the world have cut IT spending, a major share of which went to procure devices to support hybrid and remote workers after the Covid-19 outbreak in 2020. In 2021, demand for PCs and smartphones remained high and shipments grew. According to Gartner, smartphone sales in 2021 grew by 6% and PC shipments grew by almost 10%.