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PC penetration doubles since Covid-19 to 15% households in 2024

PC penetration doubles since Covid-19 to 15% households in 2024

Time of India15-07-2025
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Household PC penetration in India has nearly doubled since the Covid-19 pandemic, rising to 13-15% in 2024 from 6-8% in 2019. Annual consumer PC shipments surged to seven million units from four million over the same period, IDC data sourced by ET showed.Analysts said the market is undergoing a structural transformation beyond the temporary pandemic-induced surge, driven by refresh cycles, greater financial accessibility, and excitement around AI PCs in mid-tier prices. However, there is a lot of ground to cover, they added.'India's PC penetration continues to be way lower compared to developed economies and even our neighbour China,' said Bharath Shenoy, principal analyst at IDC.Limited purchasing power in lower-tier cities is a challenge, but brands are trying to bridge the gap with offers, cashbacks, and no-cost EMIs, he said. With low penetration, there is enough scope to attract first-time buyers, and sentiment is positive, Shenoy said.PC sales had slowed down after the pandemic-induced surge. They have started to pick up.Canalys forecasts consumer PC shipments to grow 4.2% in 2026, up from 2.5% in 2025.'The market didn't collapse post-pandemic, it recalibrated,' said Ashweej Aithal, senior analyst at Canalys. 'We're now seeing steadier growth, with smaller cities sustaining demand and education cycles driving seasonal spikes.'Firms Like HP and Lenovo also see opportunity for greater penetration in smaller cities.'Digital adoption is accelerating in tier-II and III cities,' said Vineet Gehani, senior director, personal systems, at HP India . 'AI PCs could account for nearly 50% of the global market by 2027,' he added.Adoption of AI PCs is still nascent, but vendors are ramping up efforts to build awareness and reduce price friction through financing schemes, vernacular outreach, and influencer-led campaigns.'We're working with partners to offer AI PCs across price bands, supported by vernacular content and financing,' said Dinesh Nair, director, consumer business, Lenovo India . 'Some of our best-performing stores are in cities like Indore, Bhopal, Nashik, and Visakhapatnam.'According to Canalys, consumer PC shipments grew 16% year on year in the first quarter of 2025 (January-March), driven by aggressive promotions and strong March-end shipments across channels.In the second quarter, however, early indicators suggest a flat trend with growth largely concentrated in the commercial segment, Aithal said.Experts and executives said gaming notebooks are in demand, with AI PCs also being key growth drivers going forward and upcoming festive sales set to give these a boost. They expect AI PCs to become a critical catalyst for first-time upgraders in smaller cities.While pandemic lockdowns made students and people in tier-II and tier-III cities more familiar with PCs, they don't use them on a daily basis, experts said.
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