Acer consolidated its spot in the third position of the global PC market during the third quarter of 2007 with a market share of 8.1%, according to the latest data from Gartner. The company also cemented its spot as the world's second largest notebook vendor and stood out as the fastest growing PC vendor for the quarter.
According to Gartner, Acer outpaced the 14.4% growth of the global PC market by showing year-on-year growth of 58% for the quarter. Acer registered a growth rate of 54% for the quarter in Europe, Middle East and Africa (EMEA) – two and half times the average growth rate of the PC market in the region.
The company strengthened its leadership of the EMEA notebook sector with a 65.4% growth rate (3Q 2006 versus 3Q 2007) and a 23.6% market share and consolidated its second position in the total PC market.
Says Graham Braum, commercial manager at Acer South Africa: "The third quarter was extremely positive for Acer, with excellent growth all around the world. The fast growth of the notebook sector once again fuelled Acer's strong performance. Our focus on functional design, the introduction of new technologies, the strength of our channel, and the clear segmentation of our product lines have all contributed to our success.
"The South African PC market experienced soft growth during the third quarter, due to factors such as the introduction of the National Credit Act and rising interest rates," adds Braum, "However, the company expects to see growth pick up as businesses start to replace ageing PCs and notebooks, and as consumers invest in new notebooks."
Braum notes that the top three PC brands are accounting for a growing share of the global PC market, with a combined market share of more than 40%. "This reflects the ongoing consolidation of the market as the major players try to achieve the economies of scale they need to compete effectively," he adds.
"Looking to the future, a recently concluded transaction that saw Acer acquire US vendor, Gateway, will put even more distance between Acer and its next-largest rival in the global PC market," says Braum. The acquisition of Gateway positions Acer as a multibrand PC vendor with an annual turnover of about $15 billion and a global market share of about 8.8%. The combined company will shift about 20 million PC units a year.
The deal gives Acer a massive boost in the North American PC market, where it has traditionally lagged the US brands. It also adds a strong retail PC brand to the company's product portfolio. Gateway still has an option to acquire PC vendor, Packard-Bell, which could further boost Acer's market share.
"This transaction gives Acer a better balance of revenues between the Americas, EMEA and Asia-Pacific and a more complete range of solutions. Acer also expects to achieve a range of significant cost-synergies such as improved supply chain management. As a result of the increased scale of the combined businesses, Acer will also have the purchasing power to negotiate better pricing on PC components," adds Braum.