HP back on top of PC market

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Some of the numbers quoted make no sense without some calculations. I made the mistake of doing those calculations, and now I'm making the further mistake of sharing them.

From the article:
Still, much of the growth can be attributed to price cuts, which are neutralizing growth in revenue. In 2000, 140.2 million PCs left factories and accounted for an estimated $226 billion in value, or revenue, in the market, said Roger Kay, an analyst with IDC. In 2003, a record 152.6 million PCs were shipped, but they carried an estimated value of $175 billion, a $51 billion decline. In fact, the 136.7 million PCs shipped in 2002 probably accounted for $175 billion in value, meaning that in dollar terms the past two years have been close to equal.

In other words,

Year 2000
PC's shipped 140.2 million
Value $226 billion
Avg value $1600 nearest $50

Year 2002
PC's shipped 136.7 million
Value $175 billion 'probably'
Avg value $1300 nearest $50

Year 2003
PC's shipped 152.6 million
Value $175 billion
Avg value $1150 nearest $50

Given the amount of the average value, I'd assume that the 'value' is equal to sales; it certainly can't be profit. (Though the 2003 to 2002 growth rate of 11% described earlier in the article actually calculates to over 11.5%, that's probably because of rounding.)


From the article:
For the year, though, Dell remained No. 1, hitting a worldwide market share of 16.9 percent, up 25 percent from the overall figure for 2002 of 15.1 percent. HP's annual market share came in at 16.4 percent worldwide, up 14.5 percent from its share of 16 percent for 2002 as a whole.

This makes no sense without some calculations.

Year 2002
Units shipped 136.7 million

Dell % 15.1%
Dell units 20.6 million (nearest 100,000)
HP % 16.0%
HP units 21.9 million (nearest 100,000)

Year 2003
Units shipped 152.6 million

Dell % 16.9%
Dell units 25.8 million (nearest 100,000)
Year to year growth = to 25.8 from 20.6 million, up 5.2 million, 25%

HP % 16.4%
HP units 25.0 million (nearest 100,000)
Year to year growth = to 25.0 from 21.9 million, up 3.1 million, 14%
(the article's 14.5% probably comes from rounding)

In 2002, HP led Dell by 1.3 million units
In 2003, Dell led HP by 0.8 million units
A change of 2.1 million in Dell's favor


From these numbers, it's clear how thoroughly Dell and HP are coming to dominate the market:

In 2002, Dell and HP accounted for 31.1% of the market
In 2003, Dell and HP accounted for 33.3% of an 11% larger market

Year 2002
Units shipped 136.7 million
Dell shipped 20.6
HP shipped 21.9
Everyone else 94.2

Year 2003
Units shipped 152.6 million growth 11%
Dell shipped 25.8 growth 25%
HP shipped 25.0 growth 14%
Everyone else 101.8 growth 8%

Posted by: Anton Philidor   Posted on: 01/14/04 You are currently: a Guest | Members login | Terms of Use

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