Desktop Market Heading To Uncertain Future Say GFK

Mobile computer purchases vastly outperformed those of Deskbound PCs in 2007 and now, more than ever with the growth in mobile computing, the deskbound PC market is heading towards an uncertain future claim research Company GFK.

The downward trend in the Deskbound PC market has continued in the first quarter of 2008 and shipments are reducing at a faster rate than expected say GFK. As demand is lowered, some of the PC peripheral markets are suffering with poor sales too.

Hardware devices such as Printers, Scanners and LCD Monitors are facing their own unique issues, but are not likely to be affected by the losses in the Desktop market. These devices will be in demand in one form or another regardless. The IT peripheral markets, especially Mice, Keyboards, Webcams and Speakers, may very well see a downfall in terms of volume and value in the near future, due to their direct corollary with the Deskbound PC market.

One of the most rapid downturns in the IT industry recently has been observed in the Webcam market. The sales success of 2005 and 2006 were not equalled in 2007. The market has gone from a volume growth of 6% compared to 2006, but a value decline of 6%. The continued weakness of sales volume is now effecting the market as the first quarter in 2008 failed to help the market see a much wanted recovery.

The average price has now declined to just below $55 in March 2008 and is expected to remain low throughout 2008. Entry level cameras in the retail channel during the first months have dropped to under $39 per unit, further widening the price gap between the retail and the business channel. Webcam price points are expected to stabilise in 2009, but the performance of this market will purely depend on the volumes generated in the future.

Due to the vast range of applications and the low cost of a Webcam, it is estimated that households already own multiple PC cameras. With the changes in the PC market and the fast adoption of the Notebook PC, there might be room for a good Notebook Webcam in the future.