Bangladesh’s Portable PC Market Registers Phenomenal Growth in Q3 2007, Springboard Research Finds

PRLog (Press Release) - Jan 28, 2008 -
New Delhi, India: Springboard Research, a leading innovator in the IT market research industry, reported today that Bangladesh’s Portable PC shipments totaled 8,244 units in Q3 2007, marking a remarkable growth of 331.1% YTY in comparison to the same quarter of the previous year. Overall PC/Server shipments grew 26.3% YTY, with 53,699 units shipped compared to 42,501 units in Q3 2006, according to Springboard Research.

“An increased demand for notebooks was witnessed in the quarter due to increased availability of cost-effective portable PC models in Bangladesh,” said Manish Bahl, Manager, Springboard Research. “In addition, increased demand from the government sector as well as investments from the large enterprises, especially in the telecom, banking and financial sectors, helped maintain growth in Bangladesh’s PC/Server market,” he added.

Among the major brand players, Dell witnessed a sharp rise in its PC/Server shipments for Q3 2007 although HP still continued to lead the desktop market (9.9% share) followed by Dell and Daffodil. Local player Flora continued to witness an increase in its total desktop market share and the company registered the greatest growth in the category in Q3 2007. Springboard’s data also showed that the large enterprises (500+ employees) continued to lead the market with a 32.9% share of total shipments in Q3 2007, followed by the government and home segments.

“Bangladesh’s economy continued to maintain its growth rate due to increased foreign aid, exports and remittances, despite facing challenges in political uncertainty, poor infrastructure, and a fragile financial system,” Bahl noted. Bangladesh’s government, in partnership with other countries such as Japan and Korea, is also working to install new power plants throughout the country, with one recent investment proposal bid at US$7 billion. The country has also been receiving constant support from various donor agencies, with disbursements during July-September 2007 reaching US$280 million, as compared to US$128 million recorded in the same period of the preceding year.

Considering the upcoming 2008 general elections in Bangladesh, the Election Commission’s expected IT procurement and the government’s ICT initiatives, Springboard Research expects the country’s overall PC/Server market to grow at a healthy pace. However, rising oil prices, the looming power crisis and inflation could negatively affect the stability of the domestic currency. The interim government’s success with maintaining political stability and public support until the elections is essential to the country’s healthy economic prospects. Any setback on the political front would undermine business confidence and adversely affect investment and growth.

About Asia Emerging Countries Tracker

Asia Emerging Countries Tracker is a Springboard Research service that tracks PC/Server market developments in Bangladesh, Brunei, Cambodia, Sri Lanka and Pakistan on a quarterly basis. The methodology employed for this service leverages interviews with IT resellers, vendors, component suppliers and end-users at the local and regional level.