According to a report by the analyst company IDC, the shipment of gaming PCs is anticipated to decline by 10.5% by the year 2023. Conversely, gaming monitor shipments are expected to grow by 10.8% year-over-year.
Although this may seem bleak for the gaming PC market, IDC suggests that it remains more resilient compared to the rest of the PC market. This is primarily due to buyers taking advantage of lower prices on last-generation products and discounts on current generation products as a result of excess inventory.
Jay Chou, the research manager for IDC’s Worldwide Quarterly PC Monitor Tracker, commented on the predictions, stating, “Improved cost structures and continued industry focus means we should expect a stronger recovery in this part of the gaming device landscape.” He further highlighted that gaming monitors, costing a little over $300 on average, provided a cost-effective means to enhance user experience within and beyond gaming.
However, IDC projects a positive outlook for gaming PC shipments in the years to come. Between 2023 and 2027, it predicts a compound annual growth rate (CAGR) of 4.6% for gaming PCs, while gaming monitors are expected to have a CAGR of 7.7%.
IDC identifies the poor economic situation as one of the main factors contributing to the decline in gaming PC shipments. In the United States, inflation remains above the Federal Reserve’s target of 2%, currently sitting at 3.7%. This translates to rising prices in shops, putting added pressure on consumers’ wallets. Additionally, higher interest rates make borrowing more expensive, making it challenging for consumers to finance gaming hardware purchases on credit.
In conclusion, while gaming PC shipments may face struggles in the near term, the market is expected to rebound and grow, driven by factors such as price reductions, improved cost structures, and increasing demand for gaming monitors.
Source: IDC
