Worldwide device shipments to remain flat until 2018: Report

The shipments of PCs, tablets, ultramobiles and mobile phones combined worldwide are projected remain flat in 2017. The worldwide shipments for these devices are projected to total 2.3 billion in 2017, the same as 2016 estimates, according to a Gartner report. This shipments are expected to remain the same up till 2019.

There were nearly 7 billion phones, tablets and PCs in use in the world by the end of 2016. However, Gartner does not expect any growth in shipments of traditional devices until 2018, when a small increase in ultramobiles and mobile phone shipments is expected.

While traditional PC shipments are expected to decline from 219 million of 2016 from 205 million in 2017. It is further expected to decline to 198 million in 2018 and 193 million in 2019. While Ultramobiles shipments are expected to rise from 49 million in 2016 to 61 million in 2017.

What is more surprising is shipments of mobile phones stayed the same at 1.8 billion in 2017. It will grow to 1.9 billion by 2018, according to the report.

“The global devices market is stagnating. Mobile phone shipments are only growing in emerging Asia/Pacific markets, and the PC market is just reaching the bottom of its decline,” said Ranjit Atwal, research director at Gartner.

“As well as declining shipment growth for traditional devices, average selling prices are also beginning to stagnate because of market saturation and a slower rate of innovation,” added Atwal. “Consumers have fewer reasons to upgrade or buy traditional devices. They are seeking fresher experiences and applications in emerging categories such as head mounted displays (HMDs), virtual personal assistant (VPA) speakers and wearables,” said Atwal.

Device vendors are increasingly trying to move into faster-growing emerging device categories. “This requires a shift from a hardware-focused approach to a richer value-added service approach,” said Atwal. “As service-led approaches become even more crucial, hardware providers will have to partner with service providers, as they lack the expertise to deliver the service offerings themselves.”