Three days ago, market research firm Gartner reported that HP’s long reign as the undisputed king of the PC market was over and that it had been overtaken by the Chinese firm Lenovo. HP has now responds by stating that Gartner’s figures are inaccurate, citing IDC’s report in which HP is still leading, albeit by a very marginal difference.
HP may be quite right in objecting to Gartner’s results. According to the company, the sales of workstations forms a significant part of its PC business and the reports by ‘certain research firms’ didn’t include that. On the other hand, it states, IDC’s report takes into account the workstation sales and that’s why HP sits on the no. 1 spot in IDC’s estimates.
The company released a statement saying, “While there are a variety of PC share reports in the market, some don’t measure the market in its entirety. The IDC analysis includes the very important workstation segment and therefore is more comprehensive. In that IDC report, HP occupies the No. 1 position in PCs.”
Nonetheless, the irony is that even in IDC’s report, HP is leading by only half a percent over Lenovo. And we can expect Lenovo to be ahead of HP, on all counts, within a quarter or two. HP has been the top global PC manufacturer ever since 2006 but the company has run into all sorts of troubles and has been cutting down on its staff and operations, trying to somehow stay afloat.
To add to its miseries, the PC market is also taking a nose-dive, with the PC sales declining drastically quarter-over-quarter. This doesn’t help HP whose PC division was one of its major revenue streams. The inevitable consequence for the company would be that either it will have to launch its own mobile devices or else face a possible bankruptcy.
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