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Australian PC Market Shows Signs Of Recovery

Australian PC Market Shows Signs Of Recovery

According to a recent report by Gartner Dataquest the Australian PC market has finally rebounded following two quarters of consecutive double-digit negative growth.

Year on year growth for the Q4 2001 was 5.9% and the quarter on quarter growth rate, compared to the previous year, also increased by 10.9%.

Dataquest analyst, Andy Woo, remained cautious: “The PC market in Australia is still fundamentally weak. As a result of the current business climate, end users are extending the use of PCs longer than ever before,” he said. “The market is basically in ‘replacement mode’ and vendors are finding it tougher to penetrate new markets or opportunities”.

“However, overall our findings are encouraging. Seasonal buying from education and government markets, a growing whitebox segment and better than expected consumer sentiment during the fourth quarter contributed to the overall growth in Q4”, Woo added.

This research indicates how tough the Australian PC market has become. Gartner claims that; “end users are becoming better educated and demanding on price; specifications and value added activities must be offered by the industry in order to remain competitive”.

“Gone is the heyday of hardware technologies being the key driver in the market, as a result, maintaining the lowest cost base is a key critical success factor. Vendors who can execute and deliver on this will be the winners,” Woo concluded.

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