StatsAudienceAsia Spent $40 Billion On Hardware Last Year

Asia Spent $40 Billion On Hardware Last Year

China and India were the fastest growing hardware markets in Asia in 2001, said Gartner.

The Asia Pacific hardware market from an end-user spending perspective was estimated to reach almost US$40 billion in the year 2001 with China and India each grew in excess of 15 percent when compared with 2000, said Gartner.

Korea and Australia were the next two biggest markets in Asia Pacific with 10 percent market share each in 2001. And Gartner predicted that China would remain the biggest hardware market in Asia Pacific during 2002, once again accounting for up to 40 percent of the total hardware market.

PC end-user revenue contributed more than 50 percent of the Asia Pacific total hardware market in 2001 while servers contributed around 13 percent of the total hardware spend across the region.

From a growth perspective, the personal digital assistant (PDA) was rated as the fastest growing sector in the hardware market. However, this growth came from a small base with PDA end-user revenue in Asia Pacific only estimated to be 1.4 percent of the total hardware market.

Forecast
According to Gartner, hardware end-user spending is expected to experience growth of around three percent in 2002, compared with 2001.

Gartner expects that the PC, PDA and storage sectors to be the only sections of the hardware market to show positive growth in 2002 when compared with 2001.

The company said that other sections of the hardware market are expected to experience flat growth at best (see tables).

“The much talked about economic recovery was not that evident in the first quarter of 2002, thus Gartner believes much of the growth will come in the latter part of 2002,” said Jennifer Wu, principal analyst and chief forecaster at Gartner.

In 2002, the PC market will experience mid-range growth in the order of 11 percent in unit shipment terms in Asia.

These lower PC growth rates are due to product life spans increasing due to uncertain economic conditions, lack of traction around Windows XP and a general lack of tangible reasons to upgrade.

Gartner expects developing countries of the region, such as China, Thailand and Malaysia, to experience healthier than average PC growth with mid double-digit unit growth forecast in 2002.

The server market in Asia Pacific, on the other hand, is expected to witness nine percent unit growth in year 2002 but revenue will remain flat due to continued keen competition in the IA server space and the continued push of Intel servers up the performance ladder.

Asia/Pacific Computer Hardware Systems End-User Spending Estimates (Millions of U.S. Dollars)
Hardware
Segment
2001 2002 2006 2001-2006
CAGR (%)
PCs 22,548 23,758 29,772 5.7
Printers 3,024 2,998 3,012 -0.1
Servers 5,269 5,019 5,654 1.4
Workstations 441 417 418 -1.1
Total Market 31,282 32,191 38,856 4.4
Source: Gartner



Asia/Pacific Computer Hardware Systems Shipment Estimates (Thousands of Units)
Hardware
Segment
2001 2002 2006 2001-2006
CAGR (%)
PCs 19,420 21,611 33,787 11.7
Printers 12,419 13,642 18,733 8.6
Servers 576 627 873 8.7
Workstations 99 100 129 5.4
Total Market 32,514 35,981 353,521 10.5
Source: Gartner



Reprinted from
asia.internet.com, an internet.com site.

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