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IDC: Worldwide PC Market to Improve in Second Half

Analysts expect PC shipments to grow 11 percent this quarter over last year's third quarter.

Worldwide vendor shipments of PCs are on the rise for the second half of 1998 as a result of growing demand in many regions, according to International Data Corp. (IDC).

Shipments to distribution channels and to end-users in the third quarter will grow 11 percent from last year's third quarter, despite economic problems in the Asia-Pacific region and Russia, IDC predicts.

In the second half of 1998 shipments of PCs will rise by 12.2 percent, up from the 9.6 percent growth rate for the first half of the year. The total number of worldwide shipments of PCs is forecasted to grow by 11 percent for 1998 compared to last year, IDC said.

The expanding low-cost PC market will boost PC shipments in the U.S., which are expected to increase by 14 percent this quarter, IDC said. Growing consumer demand for enhanced portable computers also contributed to the growth in shipments.

Larger vendors with broader product lines and geographic reach will see the most increase in PC shipments for the quarter, IDC said.

Apple Computer is expected to see the highest growth rate in the number of PCs shipped this quarter due to its recent roll-out of the iMac, IDC said. Dell Computer, with expanding growth across a range of product and customer segments, and Compaq Computer, with rising factory shipment growth, will also see increasing growth rates in PC shipments. Hewlett Packard, Gateway and Toshiba are expected to post share gains as well, due to strong shipments of portable PCs in the U.S.

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