France PC Market Analysis and Forecast, 4Q08

In 4Q08, the French PC market recorded healthy growth, with shipments growing by 10.2% year on year, contributing to an increase of 13.9% for 2008. Despite global recession, the PC market held well thanks to consumer demand for portables during the Christmas season.

The portable PC market continued to drive market growth, with sales rising by a robust 33.7% in 4Q08. Momentum in the consumer market remained the key engine of market dynamics, thanks to buoyant mini notebook demand. Commercial portable PC market returned to single-digit growth, driven by SMB demand for notebooks, while the corporate segment continued to record negative growth. The French desktop PC market continued to deteriorate, with volumes dropping faster than expected by 13.7%, directly impacted by the interruption of commercial desktop renewals.

As the recession is expected to continue, constrained IT spending and slowdown in demand levels will be reflected in all segments. Therefore, IDC forecasts that the French PC market will decline by 4.3% in 2009.

"Mini notebooks will enjoy continued uptake, benefiting from strong vendor and channel push. New products with an appealing design at very attractive prices will continue to seduce consumers," said Nicolina Angelou, research analyst for IDC's EMEA Personal Computing Group. "However, demand for mainstream notebooks will remain constrained, as cautious consumer spending will hit renewals." Commercial notebook demand will suffer, as businesses curb spending on new hardware and postpone purchases. IDC expects volumes to contract by 8.8% in 2009. The desktop market will continue to deteriorate further, with shipments decreasing by 13.9% in 2009, directly impacted by the postponement and downsizing of IT investments in the business space.