PC's defy credit crunch

14:19 4th August 2008

The number of PC shipments in the second quarter of 2008 grew to its highest level since 1999, according to Gartner.

The research analyst firm cited a dramatic fall in selling prices as the catalyst for an increase in deliveries of 27.4 per cent compared with the same period in 2007.

The increase - equivalent to 2.8 million units - was backed by strong laptop sales, which represented 64 per cent of total PC sales.

"While the PC market is not immune to economic forces, sharp declines in average selling prices have certainly fostered the growth," said principal analyst at Gartner, Ranjit Atwal.

"Steeper-than-expected price cuts could hit PC makers' profit margins and prolonged price pressure will force further consolidation among vendors," he added.

PC sales in Western Europe also defied the credit crunch in the second quarter of 2008, with an increase of 23 per cent from a year ago.

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