09 May 2013
The East Africa PC market, which covers Kenya, Uganda, Tanzania, and Ethiopia, shrank 6.4% year on year to 207,385 units. These results were released by IDC, the premier global market intelligence and advisory firm for the information technology and telecommunications markets.

In Kenya, this decline can be attributed to the general election, as most government businesses were at a near standstill awaiting the new administration. The Ethiopian market has experienced extended tender proceedings. The Tanzanian government, after concluding several major contracts, has yet to pay for items and services rendered (thus causing vendors to avoid further tender proceedings). Desktop PCs recorded a huge slump in the same period; a 53.3% year-on-year drop to 37,551 units. In Kenya, this can be attributed to the general election, with organizations in education (the major consumer of desktop PCs) being forced to wait for the new government to assume office. The market in Ethiopia was impacted by last year's long tender proceedings, which prevented some major vendors from concluding contracts.

Portable PCs recorded an impressive 20.2% year-on-year growth in the same period, to 169,834 units. This was due mainly to consumer preferences shifting to ease in mobility, and the pricing strategies employed by some vendors, which are shipping large numbers of portable PCs without OSs, hence making them affordable to the entire East Africa region. "The major threat to the growth of PCs in the region will be smartphones and tablets, since for the first time we are seeing smartphone and tablet vendors pushing entry-level products through telco retail outlets, hence to a larger customer base, " says James Mutua, a research analyst at IDC East Africa. "This is also a big boost for telcos, as it will increase their data revenues with more consumers in the region using data mainly on their tablets and smartphones, rather than PCs," he continues. 

Table 1: East Africa (KE, UG, TZ, ET) PC Market Share (Volume) 

VendorQ1 2013Q1 2012

Samsung27%14.8%
HP17.20%27.4%
Toshiba15.5%7.2%
DELL14.2%27.5%
Lenovo11.3%1.7%
OTHERS14.8%21.4%
Total100%100%

IDC expects PC shipments in the region to grow, especially if Kenya's new government proceeds with its manifesto promise to supply all children in the first grade with laptops next year. This will be a big boost for the industry, as IDC expects a pilot project to be conducted this year to ascertain the feasibility of this plan. 

-Ends-

About IDC 
IDC Provides Global Research with Local Content
IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 900 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 90 countries. For more than 43 years, IDC has provided strategic insights to help our clients achieve their key business objectives.
 

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For the Middle East, Africa, and Turkey region, IDC retains a coordinated network of offices in Riyadh, Casablanca, Nairobi, Lagos, Johannesburg, and Istanbul, with a regional center in Dubai. Further expansion plans for 2013 include the opening of an additional office in Cairo. Our coverage couples local insight with an international perspective to provide a comprehensive understanding of markets in these dynamic regions. Our market intelligence services are unparalleled in depth, consistency, scope, and accuracy. IDC Middle East, Africa, and Turkey currently fields over 125 analysts, consultants, and conference associates across the region.

© Press Release 2013