PC growth riding the BRIC wagon
Markets in Brazil, Russia, India, and China will account for more than 775 million new PCs by 2015: Forrester.
By INDIATIMES NEWS NETWORK |
NEW DELHI: By the next year end, there will be more than one billion personal computers in use worldwide, according to a report compiled by Forrester Research. With PC use growing rapidly in emerging markets and high-profile programmes in place to reach previously untapped markets, Forrester has predicted that there will be more than two billion PCs in use by 2015, translating into over 12 per cent compound annual growth rate (CAGR) during 2003 - 15.
While it took 27 years to reach one billion PCs, Forrester says it will take only five years to reach the next billion, due to advancing technology, low prices and boot in global demand due to growing technology-savvy population. Brazil, Russia, India, and China (BRIC) market will account for more than 775 million new PCs by 2015, the report said.
“There is nothing more important to the long-term health of the technology industry — and personal technology in particular — than the ability to deliver relevant, accessible and affordable technology to the billions of people worldwide who have not been exposed to it,” said Forrester Research Vice President and Research Director Simon Yates. “The industry can probably survive selling incrementally better hardware and software to the people who already have technology in their lives, but the vast majority of growth in the PC and related industries will come from emerging markets.” Simon Yates said.
The Forrester report also points to the unpredictability ahead. Vendors are used to the predictability of buyers in mature markets, but high volume launches into emerging markets are risky. Vendors won’t have the luxury of introducing products on a small scale to test the market before going into full production owing to the economics that would force suppliers to focus on bringing volume to market more quickly at much greater risk, the report said.
The Forrester report “Worldwide PC Adoption Forecast, 2007 - 15” has lauded Microsoft’s Unlimited Potential, Intel driven World Ahead Programme, AMD’s 50x15, and OLPC for their efforts to reach out to the untapped markets. Forrester Research notes that other major system vendors need to get involved and demonstrate similar corporate involvement to scale up production to ship five times the number of systems at one-fifth the cost and arm these emerging markets with the low-cost product required for the PC market to take off.
ends
While it took 27 years to reach one billion PCs, Forrester says it will take only five years to reach the next billion, due to advancing technology, low prices and boot in global demand due to growing technology-savvy population. Brazil, Russia, India, and China (BRIC) market will account for more than 775 million new PCs by 2015, the report said.
“There is nothing more important to the long-term health of the technology industry — and personal technology in particular — than the ability to deliver relevant, accessible and affordable technology to the billions of people worldwide who have not been exposed to it,” said Forrester Research Vice President and Research Director Simon Yates. “The industry can probably survive selling incrementally better hardware and software to the people who already have technology in their lives, but the vast majority of growth in the PC and related industries will come from emerging markets.” Simon Yates said.
The Forrester report also points to the unpredictability ahead. Vendors are used to the predictability of buyers in mature markets, but high volume launches into emerging markets are risky. Vendors won’t have the luxury of introducing products on a small scale to test the market before going into full production owing to the economics that would force suppliers to focus on bringing volume to market more quickly at much greater risk, the report said.
The Forrester report “Worldwide PC Adoption Forecast, 2007 - 15” has lauded Microsoft’s Unlimited Potential, Intel driven World Ahead Programme, AMD’s 50x15, and OLPC for their efforts to reach out to the untapped markets. Forrester Research notes that other major system vendors need to get involved and demonstrate similar corporate involvement to scale up production to ship five times the number of systems at one-fifth the cost and arm these emerging markets with the low-cost product required for the PC market to take off.
ends
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