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PC

Leading global PC vendors brace for supply issues due to chip shortage

By Nadeem Sarwar May 28, 2021, 9:24 pm
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In the first quarter of 2021, the global PC industry recorded the fastest growth in over two decades and also the highest shipment figures since at least 2015, despite a global chip shortage showing its effects across multiple segments. However, it appears that the challenges faced by the semiconductor industry will finally hit the PC industry in the subsequent quarters, or at least that’s what HP and Dell have predicted after announcing their latest quarterly results.

HP and Dell – which sit below Lenovo in the global PC brand rankings with a market share of 21.7 percent and 19.4 percent respectively (per IDC data)  – have predicted that the worldwide chip shortage will affect their ability to maintain a steady supply of laptops in the coming quarters. 

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“HP Inc (HPQ.N), which ranks second among global PC vendors according to IDC data, said the shortages would limit its ability to supply personal computing devices and printers at least until the end of the year.
Still, the companies, which are leaders in the personal computing industry, said they were bullish on the overall market, expecting the surge in demand for laptops needed by people working and going to school remotely to continue.”
Reuters

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The global PC and laptop market witnessed healthy growth fueled by the high demand due to remote work and home-based learning catalyzed by the ongoing pandemic. However, the global chip crisis – which is only getting worse as per a Bloomberg report – finally appears to be tightening its grip around the top global PC vendors.

The demand will continue to be high, but the inability to balance it out with adequate supply will show its negative impact on the balance sheets in the upcoming quarters. But it’s not just HP and Dell, as Apple is expected to face the heat as well in a year that will witness the biggest change in its computing strategy in a long while.

Multiple reports over the past couple of weeks have predicted that the ongoing global semiconductor shortage might also affect Apple’s plans for its highly anticipated MacBook Pro refresh. The new Mac machines – which are said to include 14-inch and 16-inch models – will reportedly bring a design overhaul, a mini-LED display, and will also mark the return of the HDMI port and SD card slot.

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