PC market continues to be weak

Although early this year, Dell announced a high-profile transition to IT services and defined itself as “more than just a PC company”. However, the plan has not kept pace with changes, and the industry’s shrinking speed exceeds Dell’s expectations.

"The net profit was 1.83 billion U.S. dollars, an increase of 107% year-on-year; the cash flow climbed and broke the company record." Regardless of how it looks, Dell's semi-annual report was sufficiently impressive. However, Dell still decided to downgrade its full-year performance forecast. For no reason, the industry is too sluggish.

Earlier this year, Dell expects revenue growth to be 5% to 9% this year. Dell reduced this figure to 1% to 5% yesterday. The chairman of Dell Greater China, Miao Yida said, "Dell's current strategy is to maintain steady growth, balance revenue and profit growth." "Although Dell lowered its revenue expectations, but at the same time the profit forecast from the original 12% -18% Increase to 17%-23%."

Frankly speaking, Dell is continuing to shake off its low-margin business and transform into high-margin IT services.

In recent years, brand integration events have become more frequent in the PC industry. Since Lenovo acquired the IBM PC, the global PC brand has been reduced a lot. Hewlett-Packard bought Compaq, Acer took over the Gateway, and took over the Founder PC business last year. Many PC companies also disappeared.

Since the financial crisis, the PC industry has entered a slump, and global PC shipments have continued to shrink. According to a report from IDC, total global PC shipments in the second quarter of this year were 84,413 million units, up 2.6% year-on-year. However, this rate of growth was lower than the 2.9% growth rate previously expected by IDC. IDC believes that the global economic downturn and the combined impact of smartphones and Apple iPad tablet PCs have affected PC shipments.

In order to cope with the cold weather in the industry, various PC companies have issued coping strategies.

Dell and Hewlett-Packard is a train of thought that is to imitate IBM, from a single hardware sales competition to the transformation of selling services. Dell made a total of 10 acquisitions last year and this year, and the acquisition targets are focused on storage, servers, and solutions.

Lenovo and Acer are another way of thinking. They are following Apple's steps, expanding product categories, expanding from the original PC products to mobile phones and TVs, and continuing to carry out industry acquisitions to provide company revenue through scale expansion and compressing costs as much as possible. . Therefore, the past two years, the two companies in the global PC market share continues to rise.

While waiting for the fate of the second and third line PC brands, I am afraid there is only one, acquisition or disappearance. This is also the reason why the once glorious Shenzhou Computer was unsuccessful in the first half of this year.

The assertion that the PC industry is declining is endless. Whether this era really will end, no one can completely understand. Hewlett-Packard, Dell will not sell PC business, and Lenovo, Acer and other innovations in the field of mobile Internet, in fact, are not going faster.

PC giants, despite their frequent moves, are still anxious about waiting for them if they do not find a breakthrough.