India’s personal computer market has shown resilience and growth, demonstrating a 3.8 percent year-over-year increase in 2024. This upward trajectory has been propelled by various factors including public sector acquisitions and a burgeoning interest in gaming and AI-driven PCs. Analyzing the data reveals key players, market dynamics, and future expectations, providing a comprehensive overview of the landscape.
The market share report from IDC highlights HP as the frontrunner in India’s PC space, securing a significant 30.1 percent market share. Notably, HP’s growth in both the government and enterprise sectors reflects their strategic focus on large-scale procurement and service improvement initiatives. However, HP’s consumer segment faced a setback, shrinking by 7.5 percent YoY, which can largely be attributed to intensifying competition, especially in e-commerce platforms.
Lenovo followed closely with a 17.2 percent market share. Its robust growth in both consumer and commercial segments, at 7 percent and 7.4 percent respectively, underscores the effectiveness of its diversified marketing strategies and product offerings. The brand’s ability to tap into the enterprise market with consistent supply through online retail channels is commendable and serves as a model for adaptability in a competitive environment.
Dell, ranking third with a 16.1 percent share, continues to maintain its presence through a focus on quality and customer service, despite facing challenges from aggressive pricing strategies employed by rivals. Acer managed to capture a 15.1 percent share, marking the highest growth among the top five vendors at an astonishing 48.4 percent YoY in the consumer segment. This surge is notable due to Acer’s tactical sales strategies focused on e-commerce and attractive pricing.
Asus completes the top five list with a 7 percent market share. The brand’s ability to build a solid inventory system and increase its commercial sector presence by 18.4 percent signifies effective management and foresight, ensuring sustainability in an ever-evolving market.
The consumer landscape is shifting, significantly influenced by the rising popularity of gaming and AI-capable devices. As noted by IDC research manager Bharath Shenoy, the demand for lower-end AI PCs has dramatically increased since mid-2024. Consumers increasingly gravitate toward machines equipped with Intel Core Ultra or AMD Ryzen AI processors, reflecting a desire for both performance and value.
This trend indicates that vendors must adapt quickly, prioritizing innovation and the integration of AI capabilities into their offerings. As these technologies become more mainstream, failure to pivot could leave manufacturers vulnerable to competitors who successfully meet consumer expectations.
The commercial PC market, meanwhile, recorded a 5.1 percent growth, largely driven by renewal and replacement demand. Navkendar Singh, Associate Vice President of Devices Research at IDC India, points out that many machines purchased during the 2020-21 cycle are now due for upgrades. Consequently, we could anticipate a pronounced shift towards the refresh of aging systems as businesses look to embrace more sophisticated technology solutions.
Public sector buying has also catalyzed this growth, fostering an environment where technology procurement becomes prioritized. As government initiatives increasingly focus on digital transformation, related expenditures on PCs are set to surge. This dynamic is particularly relevant given the potential for increased government projects in tech infrastructure and services.
Challenges and Future Implications
Despite the positive outlook, there are looming challenges that the market must contend with. The weakening of the Indian rupee could lead to higher device costs, placing pressure on price-sensitive segments, particularly small to medium-sized businesses (SMBs) and consumers. This socio-economic factor may stifle growth if vendors fail to strategize adequately, especially in pricing and promotion.
Moreover, the competition within the eTailer space continues to heat up as manufacturers vie for dominance. Responsive marketing, strategic pricing, and customer loyalty programs will be critical for retaining and expanding their market share.
While India’s PC market has shown promising growth in various segments, its future will hinge on consumer demand shifts, innovation, and strategic maneuvering by established players. By addressing market dynamics and consumer preferences, companies can carve out sustainable paths for continued success in the evolving landscape.