• The AI PC boom is expected to increase in volume later this year as Intel’s Core Ultra processors and their CPU, GPU, and NPU capabilities become more widely available.
  • Artificially intelligent PCs will bring a “compelling value proposition” to those holding off on buying a new PC during the post-pandemic downturn.

AI PC shipments edged up in the first quarter of this year. Analysts estimate that PC hardware sales rose, but the organisation of sales estimates varies. The Intel Core Xeon processor AI PC boom is expected to be followed by accelerated shipments. Shipment growth will boost AI PC prices, which will benefit suppliers. Lenovo topped the vendor rankings in the PC market this quarter.

Change in computer shipments in the first quarter

AI PC shipments increased in Q1 2021 by a few percent, but rising prices may cause more purchases. Analysts estimate that PC hardware sales grew in Q1 2021 by 1.5 percent compared to the same period last year, with Canalys suggesting a more optimistic 3.2% growth.

Canalys and IDC have slightly different estimates for Q3 sales, with Canalys estimating 57.2 million units sold and IDC at 59.8 million. IDC suggests shipments are returning to pre-pandemic levels, similar to 1Q19’s 60.5 million units shipped.

Also read：Microsoft Copilot AI will soon run locally on PCs

Artificial Intelligence PC Developments

The AI PC boom is expected to increase shipments later this year as Intel’s Core Ultra processors become more widely available. This growth is attributed to ongoing PC demand recovery across all segments, supported by the Windows 11 refresh and AI-capable PCs, indicating a potential acceleration in purchases throughout the year.

Canalys Principal Analyst Ishan Dutt predicts a strong refresh opportunity for businesses, with nearly 50 million PCs shipped in 2024 being AI-capable. The market is expected to grow as customers prioritise upgrades for the Windows 11 transition. The current installed base of PC hardware is larger and older than ever, making AI PCs a compelling value proposition for users.

Also read：Intel aims for over 100 million AI PCs globally by 2025

PC Market Status and Outlook

AI PCs are expected to drive increased hardware specifications, such as higher memory sizes and faster SSDs, leading to a 50% increase in DRAM prices this year. This demand is potentially unfavorable for buyers but beneficial for vendors.

AI PCs are expected to carry higher price tags, providing further opportunities for PC and component makers. Lenovo leads the PC market with 23-24% market share, followed by HP with 20-21%, Dell with 15-16%, Apple with 8-9.4%, and Acer with 6.2-6.5%. Lenovo’s growth is attributed to a decline in shipments in Q1 last year, while Apple’s figures were boosted by the launch of new MacBook Air products.