How there may be more pain for hardware companies in 2023 – Times of India

Worldwide shipments of total devices, which include PCs, tablets and mobile phones, are projected to decline 4.4% in 2023, a new report has said, adding that a total of 1.7 billion units will be shipped this year. In comparison, the devices shipment market declined 11.9% in 2022.
“The depressed economic market will continue to dampen demand for devices throughout 2023. In fact, end-user spending on devices is projected to decline 5.1% in 2023,” said Ranjit Atwal, Senior Director Analyst at Gartner.

“Just as business confidence was beginning to recover after the worst of the pandemic, it has now fallen significantly in most regions. We do not expect relief from inflation and the bottom of the recession to occur until the fourth quarter of 2023,” Atwal added.
As per the market research firm, the downward trend affecting the devices market will lessen in 2023, eventually increasing consumer and business spending.
Worldwide device shipment forecast
As per Gartner, PC shipments are expected to register a -6.8% growth as compared to -16% growth in 2022.

Similarly, the global tablet shipments are expected to register a -2% growth in comparison to -12% growth last year. Gartner also expects that the worldwide smartphone shipments will decline in 2023.
Mobile phone shipments are expected to register a -4% growth as compared to -11% a year ago. Smartphone shipments are projected to total 1.23 billion units in 2023, down from 1.28 billion units a year ago.
“Consumers are holding onto their phones longer than expected, from six to 9 months, and moving away from fixed to flexible contracts in the absence of meaningful new technology. In addition, vendors are passing on inflationary component costs to users which is dampening demand further. End-user spending on mobile phones is projected to decline 3.8% in 2023,” said Atwal.