The Philippines’ PC (personal computer) market has declined 49 percent year-on-year due to the high inflation rate and the dampened spending especially in the business process outsourcing (BPO) sector, according to the latest report of the International Data Corp. (IDC).
The IDC Worldwide quarterly personal computing device tracker showed that the Philippines’ PC market decreased by 18.5 percent quarter over quarter and fell by 49 percent year-on-year at 464,000 units in the fourth quarter of 2022.
“The market declined across notebooks and desktops. Household consumption was largely fulfilled and refocused on other spending activities geared toward the holiday season.
Macroeconomic pressures further drove inventory rationalization among vendors,” said Jeeno Velasco, IDC Philippines associate market analyst, in a statement.
IDC said the commercial space has not recovered as the government and enterprise sectors weakened by 45 percent and 25 percent quarter-on-quarter, respectively.
The national government has not announced any major plans involving information technology spending, while the enterprise segment is more reluctant to procure more units due to its negative financial outlook.
“Demand for desktops and the influx of company workers required to report back to work should have increased shipments for the corporate sector, but this didn’t pan out. Economic issues such as rising inflation, higher interest rates, and a looming recession from abroad dampened corporate spending, especially for BPO companies,” added Velasco.
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