India's PC Market May Have Bottomed Out, Says IDC

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India's PC market may be on the rebound, with unit shipments up 7.4 percent in the first quarter of this year from the previous quarter, mainly on stronger buying by the government, education, and state-owned banks, research firm IDC India said on Wednesday.

"This is small indication that the market has bottomed out," said Kapil Dev Singh, country manager at research firm IDC India.

Total PC shipments in the first quarter were 1.68 million units, up from 1.56 million in the previous quarter, IDC said.

Units shipped in the first quarter were however down by 19 percent from the over 2 million PCs shipped in the country in the first quarter of last year, suggesting that the Indian PC market has yet to recover fully.

The current year will continue to be challenging, with growth either flat or negative on a year-on-year basis, Singh said. A return to firm growth can be expected only by the third quarter of next year, Singh said.

The government sector had the potential to spend more in the first quarter, but government purchases slowed down in the run up to the federal elections in the country which ended this month.

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