Report: Supply Chain Shows PC Sales Lower Through Q1

By Jessica Davis  |  Print this article Print

IT solution providers that have noticed their PC sales are down recently are not alone. FBR Research reports that recent supply chain checks indicate that PC shipments are down and will continue to lag into Q1 of 2009.

If you are seeing PC hardware sales turn cold, you are not alone.

FBR Research reports that its supply chain checks indicate that shipments of PCs for both Dell and Hewlett-Packard have slowed down even more than previously reported.

"This is the second time in three months that we have cut our PC vendor estimates," the company said in a brief report issued Oct. 6. "We first cut our PC shipment forecast and our estimates for HP and Dell in mid-July after supply chain contacts reported a slower back-to-school outlook."

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FBR Research indicated that its supply chain checks show the outlook further deteriorating for PC shipments and ASPs (average selling prices) in the fourth quarter of 2008 and into the first quarter of 2009.

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While the analyst company notes that industry forecasts have called for 37 percent year-over-year growth in notebook shipments in the third quarter of 2008, FBR Research's own forecast calls for 35 percent growth and "our most recent checks suggest that even this may be overly optimistic." 

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The firm also reports that it is hearing of growing challenges for corporate PCs being sold in the Western European and U.S. markets as businesses spend less on new PCs.

Jessica Davis covers the channel for eWeek and Channel Insider. Her technology journalism career began well before anyone heard of the World Wide Web and has included stints at Infoworld, Electronic News/EDN, and the Philadelphia Business Journal. Her work has also appeared on CNN and Forbes.com. She has covered hardware, software and networking, as well as the business side of technology. She has won several journalism awards, including a national ASBPE award for best staff-written column, and was named Marketing Computers hardest working tech journalist on their inaugural list of top tech journalists. Jessica can be reached at jessica.davis@ziffdavisenterprise.com

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