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March 26, 2014

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Tablet mania hits business PC sales

SALES in China’s business personal computer market are expected to drop 1.5 percent this year because of declining demand and challenge from mobile devices, especially business-oriented tablet computers, a United States-based research firm said yesterday.

The sales may rebound after 2015 but the annual growth won’t surpass 5 percent until 2018, according to International Data Corp.

“The gross economic environment and the surge in mobile devices have deterred business computer sales in China,” Wang Lili, an IDC analyst, said in a statement.

The government has cut spending on PC purchase and replacement. On the other hand, the popularity of tablet computers and their powerful features have turned them into working machines rather than merely being a source of entertainment, Wang added.

Smart tablet computers are widely used in the education, government, finance (including insurance and bank) and energy sectors, according to IDC.

In the fourth quarter, the procurement sales of business computers dropped 7 percent, IDC said.

Lenovo Group Ltd, China’s biggest PC maker, sensing the trend, has embarked on an aggressive merger and acquisition strategy to maintain high business growth.

Over the past two months, Lenovo has announced plans to invest US$5 billion in total to acquire the X86 server business from IBM and Motorola Mobility from Google.




 

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