Worldwide personal computer (PC) shipments totalled 64.8 million units in the first quarter of 2016 -- a 9.6 percent decline from the first quarter of 2015, a report from global research firm Gartner said on Tuesday.
This was the sixth consecutive quarter of PC shipment declines and the first time since 2007 that shipment volume fell below 65 million units.
"The deterioration of local currencies against the US dollar continued to play a major role in PC shipment declines. Our early results also show there was an inventory buildup from holiday sales in the fourth quarter of 2015," said Mikako Kitagawa, principal analyst at Gartner, in a statement.
All major regions showed year-over-year shipment declines, with Latin America showing the steepest drop, where PC shipments declined 32.4 percent.
"The Latin American PC market was intensely impacted by Brazil, where the problematic economy and political instability adversely affected the market, Kitagawa added. Explaining the reasons for decline in PC shipments in the US, she said: "The ongoing decline in US PC shipments showed that the installed base is still shrinking, a factor that played across developed economies".
"Low oil prices drove economic contraction in Latin America and Russia, changing them from drivers of growth to market laggards," Kitagawa noted. Chinese technology major Lenovo maintained the top position in worldwide PC shipments in the first quarter of 2016 despite a 7.2 percent decline in shipments.
PCs are not being adopted in new households as they were in the past especially in emerging markets like India, where smartphones are the new priority. In the business segment, the Windows 10 refresh is expected to start toward the end of 2016, the report said.