SAN JOSE, Calif. Market watcher iSuppli Corp. has slashed its 2009 forecast for growth in PC unit shipments by nearly two thirds in another sign of the expected impact of the economic downturn. In October, the company pared its semiconductor forecast back to 3.5 from four percent.
The news comes after bellwether Intel Corp. announced its current quarterly revenue could be as much as $2.2 billion below projections. International Data Corp. also recently signaled it will lower its PC processor sales forecast for 2009.
Global PC shipments will rise by 4.3 percent in 2009, down from its previous forecast of 11.9 percent, according to iSuppli (El Segundo, Calif.). Unit growth will rebound in 2010 to 7.1 percent, but that's also down from a previous forecast for 9.4 percent.
"The result of the financial turmoil is less money to spend, and with less money to spend markets like PCs have been impacted," said Matthew Wilkins, principal computer analyst for iSuppli.
The slowdown marks the first time in five years PC growth will dip below 10 percent. In light of the credit collapse that hit during the third quarter of 2008, moves to refresh or buy new computer systems "will take a back seat" to more pressing financial concerns, Wilkins said.
Notebooks remain a ray of hope, expected to grow in unit shipments by 15 percent in the forecast as desktop unit sales decline by five percent. Notebooks are buoyed both by emergence of low-cost notebook based on Intel's Atom processor and overall momentum in the mobile sector.