Lenovo Leads PC Market Amidst Slow Growth and AI Anticipation

BigGo Editorial Team
Lenovo Leads PC Market Amidst Slow Growth and AI Anticipation

The global PC market is showing signs of a gradual recovery, but growth remains sluggish as manufacturers and consumers alike navigate economic uncertainties and technological shifts. Recent reports from industry analysts paint a picture of a market in transition, with established leaders maintaining their positions while new trends emerge on the horizon.

Market Overview

According to the latest data from International Data Corporation (IDC), PC shipments in Q3 2024 reached 68.8 million units, marking a 2.4% year-over-year decline. However, this represents a significant improvement from the previous quarter's 64.9 million units. Canalys reports a more modest 1% growth, with 66.4 million devices shipped during the same period.

Lenovo Maintains Leadership

Lenovo continues to dominate the PC market, securing a 24% market share with 16.5 million units shipped in Q3 2024. The company achieved a 3.0% year-over-year growth, solidifying its position at the top. HP follows in second place with a 19.7% market share, while Dell experienced a decline, dropping to 14.3% market share.

Showcasing Lenovo's dominance in the PC market, highlighting the competition with HP in a modern tech environment
Showcasing Lenovo's dominance in the PC market, highlighting the competition with HP in a modern tech environment

Shifting Dynamics

Interestingly, Asus has made significant strides, showing a 10% year-over-year growth and capturing a 7.9% market share. This performance allowed Asus to surpass Apple in shipments for the first time in years, pushing the Cupertino giant to fifth place in the rankings.

AI PCs and Future Growth

The industry is pinning its hopes on the emergence of AI-capable PCs to drive future growth. Jitesh Ubrani, research manager at IDC, notes, Newer AI PCs such as Copilot+ PCs from Qualcomm along with Intel and AMD's equivalent chips and Apple's expected M4-based Macs are expected to drive the premium segment in coming months.

However, IDC Research VP Linn Huang cautions that the impact of AI PCs might not be fully realized until 2026, suggesting a gradual adoption curve for this new technology.

Windows 10 End-of-Life and Upgrade Cycle

With Windows 10 approaching its end-of-life, there's potential for a surge in upgrades. However, Windows 11 adoption remains slow, with only 33% market share compared to Windows 10's 63%. This presents both a challenge and an opportunity for PC manufacturers in the coming years.

Looking Ahead

As the industry navigates these changes, the upcoming holiday season could provide a boost to sales. Additionally, the commercial sector is expected to maintain elevated procurement levels throughout the rest of 2024, with 54% of channel partners anticipating growth in their PC business in the second half of the year.

The PC market's slow but steady recovery, coupled with the promise of AI-driven innovation, sets the stage for an intriguing period of transition in the computing industry. As established players like Lenovo work to maintain their dominance, emerging technologies and shifting consumer preferences may reshape the landscape in the years to come.