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ME's PC penetration levels lower than global average

DUBAI — The Middle East needs to purchase six million more personal computers (PCs) to keep up with global PC sales figures as the level of PC penetration is much below the world average, with consumers collectively purchasing only one third of the PCs they need to have bought, states a comparative study by the Dubai-based Madar Research Group.

Enhanced Internet connectivity coupled with increased spending on personal computers (PCs) by the burgeoning small and medium enterprises and education sectors, is expected to usher in double-digit growth in PC sales across the 18 countries that make up the Middle East region, according to the study.

This led to the Middle East registering PC sales of a low 3.12 million as against the world sales figure of 188.9 million units. The actual sales were also lower than the theoretical sales figure the region should have achieved on both, the PC sales vis-à-vis population ratio of 9.14 million units and the PC sales vis-à-vis GDP ratio of 3.62 million units at the end of 2004.

"Though the current levels of PC penetration are poor, the growth forecast in regional PC sales is promising and holds huge potential for an IT manufacturing and solutions provider of our reach and capability," said Nimer Al Attal, Managing Director, DTK Computer Middle East.

In its sixth year of operations, DTK Computer Middle East enjoys a sizable market share in the branded PC segment and ranks among the region's leading brands.

The survey added that similarly, the Middle East needed to buy 500,000 more PC units to come up to the world ratio of 472 PC unit sales for every $100 million gross domestic product (GDP).

Madar Research's comparative survey covered the Levant group of six countries of Syria, Lebanon, Jordan, Palestine, Iraq and Egypt, the six GCC states — UAE, Saudi Arabia, Kuwait, Oman, Qatar and Bahrain, the North African countries — Algeria, Morocco, Tunisia, Libya and Sudan, and Yemen in the Arabian Peninsula.

Except for the GCC states, which registered a higher number of 1.18 million PCs sold as against the global norm of 1.10 million, all other countries in the region had lower PC sales figures, with the Levant falling short by 2.7 million, North Africa by 1.7 million, and Sudan and Yemen showing a shortfall of 1.6 million units.

On the population to PC sales count, only the GCC managed to rise above the global average, exceeding theoretical sales by a slim 0.08 million units. The Levant needed to purchase at least 2.4 million more PCs, North Africa another 1.71 million units and Sudan and Yemen had to buy 1.59 million units respectively, to achieve the global average.

"The findings reveal the regional differences in PC penetration and PC usage. We will however rise to this challenge and renew our efforts to fill in the gaps and increase computer availability by providing affordable and suitable products to help the Middle East achieve parity with global IT levels," Al Attal added.

DTK Computer Middle East is part of DTK Computer's worldwide network of branch offices and is a leading manufacturer of personal computers, notebooks and servers. Since launching its operations in the Jebel Ali Free Zone in August 1996, the company has expanded both its scope of operations and its line of products through a network of sales and service partners and value added resellers across the MENA region, Cyprus and the Indian subcontinent.

"We at DTK Computer Middle East are encouraged by the trends and have developed our marketing strategies to offer value-added products and services to our clients in the region. By providing much needed support for the region's growing IT sector, we hope to improve PC penetration and establish the company as a leading Information Technology player in the Middle East," Al Attal concluded.