New Delhi; Jan. 12 :
New Delhi; Jan. 12:
Is the boom in the personal computer market set to go the dotcom way? At least cold figures for the first half of 2000-01 indicate that all is not hunky dory with this new age sector in India.
The gloom seems to have engulfed the Manufacturers Association for Information Technology (MAIT) which has scaled down the PC sales target from 19 lakh units to 17.4 lakh units for the current year.
During the first half of 2000-01, MAIT said, PC sales grew by 26 per cent as against the targeted 40 per cent. In 1999-2000, PC sales grew by 37 per cent.
According to MAIT statistics, assembled personal computers, including lesser known regional brands and unbranded systems, continued to dominate the Indian market and accounted for 59 per cent of total PC sales. In fact, the share of the assembled brands has remained consistent at 58 per cent for the last consecutive four 'half years' (October 1998 to September 2000). During the first half of 2000-01, the market share of multinational brands increased from 22 per cent to 24 per cent, while that of Indian brands fell from 21 per cent to 17 per cent.
The desktop PC market crossed 8.3 lakh units, registering a growth of 26 per cent over the same period last year and 12 per cent over the second half of 1999-2000.
MAIT's industry performance review, conducted by the Indian Market Research Bureau, is bi-annual and aims to address the hardware sector's efforts to manage the business environment, gauge the market potential and consumer trends. The study encompasses four broad product segments-computers, networking products, printers and other peripherals.
PC sales in the business segment grew by 19 per cent while in households it grew by 53 per cent, MAIT said. The business segment continued to account for the major chunk of the market-76 per cent.
The smaller sized establishments registered a growth of
50 per cent during 1999-2000 accounting for over 25 per cent of the total PC sales. The overall size of the small and medium enterprises has come down from 58 per cent in first half of 1999-00 to 51 per cent in the same period of 2000-01.
The networking market witnessed an impressive growth. Over 4.4 lakh NIC (network interface cards), over 80,000 hubs and 3.23 lakh modems were sold in the first half of 2000-01 registering a growth of 26 per cent, 36 per cent and 51 per cent respectively.
Interestingly, the household segment accounted for 43 per cent of the modem market in 1999-2000. The high rate of growth in the modems can be attributed to the fast growing internet penetration in the country.