As we anxiously look ahead to the Consumer Electronics Show (CES) 2014 next week from Las Vegas, Nevada, the PC market struggles to reverse course of declining sales in the consumer market. PC prices are declining, multiple choices from a few different tier 1 vendors, and products remain packed with hardware.
The year ahead remains uncertain for PC OEMs trying to rebound from a turbulent 2013, as tablets will continue to cannibalize the market. The PC market saw a 10.1 percent sales drop in 2013, according to research from IDC, making it the largest drop in PC industry history.
I tend to agree that the PC market is going to buckle even further, with consumers and businesses still happy with their current systems. The current generation of manufactured PCs should last 5+ years and provides solid hardware - so there is less need to frequently upgrade.
I don't think 2014 will see the PC market suddenly turn 180 degrees, but Lenovo, HP, Dell, and other OEMs better understand what customers want. They need to create cost-effective PCs and notebooks with higher-end hardware and a good software suite to entice potential customers. To this extent, I expect Lenovo and HP, the No. 1 and No. 2 PC manufacturers, to lead the industry towards positive growth this year, if possible, as competition increases.