Indian PC market hits 3.3 million shipments in Q1, gaming laptops and AI-powered PCs drive 8.1% YoY growth
Source: Windows/Unsplash
India's traditional PC market grew 8.1% year-over-year in the first quarter of 2025, shipping 3.3 million units and marking its seventh consecutive quarter of growth, driven primarily by surging
notebook demand
and the emerging adoption of AI-powered computers.
The growth was fueled by a combination of factors including
Republic Day
sales promotions, aggressive online retail expansion, and increasing enterprise investments in AI-capable machines. Notebook shipments jumped 13.8% year-over-year, while AI notebooks witnessed an impressive 185.1% growth, though from a smaller base, according to data from International Data Corporation (IDC).
The consumer segment led the charge with 8.9% growth, benefiting from strategic promotional campaigns during Republic Day and heavy inventory pushes in March across retail channels. Online sales channels proved particularly robust, growing 21.9% year-over-year as PC vendors strengthened their digital presence with attractive discounts and cashback offers.
Premium and AI segments drive market evolution
Premium notebooks priced above $1,000 expanded 8% year-over-year, indicating consumers' willingness to invest in higher-end devices. This trend aligns with the growing adoption of
AI-powered PCs
, which organizations are increasingly purchasing to enhance productivity, security, and automation capabilities.
The commercial segment also contributed to growth with a 7.5% increase, driven by enterprise demand for commercial notebooks. However, the government sector showed weakness, with commercial desktop purchases declining 27.4% year-over-year, contributing to an overall 2.4% drop in desktop shipments.
"PC vendors are ensuring greater accessibility for customers across India by strengthening their offline presence with new brand stores, increasing large format retail presence, and offering attractive discounts," said Bharath Shenoy, research manager at IDC India & South Asia. However, he cautioned that rising channel inventory from strong shipments could pose near-term challenges.
Gaming notebooks have emerged as a significant growth driver in the consumer segment, with enthusiasts increasingly seeking high-performance machines for entertainment and competitive gaming. This demand has complemented the enterprise shift toward AI-powered devices, creating a dual-engine growth model for the industry.
HP
maintained its market leadership with 29.1% share, excelling in both consumer and commercial segments, while Lenovo secured second place at 18.9% with strong performance across retail channels. Dell held third position with 15.6% share, followed by
Acer
Group at 15.4% and Asus at 6%. Notably, Acer's consumer segment surged 95.5% year-over-year due to aggressive online and offline expansion, while Asus focused on growing its commercial presence with 41.1% growth from a smaller base.
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