Indian PC brands losing out to MNC: Gartner

Written by:
Subscribe to Oneindia News

Mumbai, Sep 19 (UNI) Multinational Corporation (MNC) PC brands have overtaken the local Indian PC brands in terms of sales, growth rates and marketing activities, said a research report by information and technology research agency, Gartner.

The research report which was released today pointed out that Indian branded vendors like HCL, Zenith, Wipro and PCS account for only 14 per cent of the Indian desk-based PC market and six per cent of the Indian mobile-PC market in 2007.

According to Gartner, only HCL has withstood the competition.

However, even they are losing out to MNCs in the consumer segment.

The Indian PC landscape is divided among three different groups MNCs, local brands and white box vendors. In the past few years, although local brands are growing at a steady pace, they are clearly way behind the growth rates of the MNC brands.

Indian vendors' shipments grew by 18 per cent year over year in 2006 and 35 per cent year over year in 2005, while MNC shipments grew 73 per cent in 2006 and 50 per cent in 2005.

''Unable to withstand the pressure of the marketing blitz and the reach of the MNC brands, the local brands have almost exited the consumer segment and are rethinking their strategy to focus more on government, education, and small and midsize business (SMB) segments,'' Gartner Principal Research Analyst for Client Computing Group Diptarup Chakraborti said.

Moreover, the mobile-PC segment in India, which has been growing at 74 per cent year on year, has seen little traction by local brands. MNC brands are dominating this niche yet high margin segment with 94 per cent of the market share.


Please Wait while comments are loading...