French PC market grows 23% in units, 13% in revenues

The first half of 2004 has been very successful for the French IT market, according to a report released Monday 30th by GfK. PC sales showed a positive growth of 23% in units and 13% in revenue.

The first half of 2004 has been very successful for the French IT market, according to a report released Monday 30th by GfK. PC sales showed a positive growth of 23% in units and 13% in revenue. Mobile PCs are gaining momentum, reaching for the first time 40% of total PC units' sales. Mobile PCs even reached a lowest price ever at 600 Euros (in the retail and hard discount outlets).

LCD monitors are on a positive trend at +14% of units sold and +25% in Euros. The LCD are even reaching 80% of total monitors sales revenue. The printing business is also on the rise: all-in-one products are especially successful with +105% in units, but the average price was lowered by 27% year to year. The back to school period is marked by products at 79 Euros. For the first time, colour laser printers are sold to the mass market, with entry prices below 500 Euros. In the storage market, DVD writers are booming, with 800% growth rate, but prices are dramatically dropping at 115 Euros.

According to GfK, all segments will show positive results. With exceptional market demand, PCs should reach 6 millions units (+18%), including 2 millions notebooks (+38%), showing a +2% revenue pick up over the year at 6.8 billion Euros. On the monitors business, a 12% growth should lead to 4.8 millions units sold (including 3.3 millions flat panels), or a +23% in Euros. The printing market will reach 5.2 millions units in 2004 (+17% vs. 2003), including 2.5 million MFD.

But price cuts should not allow any revenue growth for this market: on the contrary, GfK expects the market to decline by 2% and drop to 1.2 billion Euros. On the other hand, IT office consumables will still grow steadily by 24%, and laser printers sales on the consumer market should be watched. Last but not least, year over year, webcam units sales is up 66%.

Quite on the same trend, storage should gain 46%, and for the first time ever in 2004, more than 1 million DVD writers will be sold.

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