IHS analysts fuel post-PC argument as PC share in DRAM market drops

Summary:Analysts assert that we're in the post-PC era now that the PC share of the DRAM market has made a record drop.

Personal computers accounted for less than half of the worldwide DRAM market share during the second quarter of 2012, according to a new report from market intelligence firm IHS iSuppli. The significance is that this is the first time PCs have ever dropped below the 50 percent mark in this market.

Thus, analysts have jumped on the idea that this is only another piece of evidence that we have moved into a "post-PC era."

That seems even more convincing when you put into perspective the last time that PCs accounted for less than 50 percent, which was in the 1980s when PCs were still new products.

But when you look at the actual numbers from Q2 2012, it's not as if PCs have dropped well below the halfway mark. In fact, PCs accounted for 49 percent of the DRAM market, down from 50.2 percent in Q1.

zdnet-ihs-pc-share-dram-market

Nevertheless, IHS analysts argue that this occurance still "symbolizes the decline of the PC market" -- mainly because mobile is getting stronger with the proliferation of smartphones and tablets.

Clifford Leimbach, a memory analyst at IHS, explained further in the report that this doesn't mean the death of PCs, but rather that PCs are simply losing their long-standing dominance along the electronics supply chain as well.

"For DRAM suppliers, the focus in the future increasingly will be on serving the needs of fast-expanding new markets for smartphones and tablets, at the expense of catering to the PC business," he added.

Leimbach also cited the decline of the Wintel alliance between Microsoft and Intel as a contributing factor. Earlier this month, IHS published a report hinting that there are frays in the relationship as both tech giants also try to catch up with the mobile market.

Chart via IHS iSuppli

Topics: Hardware, PCs, Tech Industry

About

Rachel King is a staff writer for CBS Interactive based in San Francisco, covering business and enterprise technology for ZDNet, CNET and SmartPlanet. She has previously worked for The Business Insider, FastCompany.com, CNN's San Francisco bureau and the U.S. Department of State. Rachel has also written for MainStreet.com, Irish Americ... Full Bio

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