Despite the increased political uncertainties, the market registered a growth of 27.5% Year To Year in Q2 2006
November 27, 2006 (Press Release) --
Springboard Research, a leading innovator in the IT Market Research industry, today announced that the Bangladesh PC/Server market registered a growth of 27.5% to 54,522 in Q2 2006 (April-June) as compared to Q2 2005. The strong growth in the quarter was mainly driven by the increased IT spending by the government, telecom companies and financial institutions. In addition, the good performance of Bangladesh economy in Q2 2006 helped accelerate the country’s overall IT market, with the economy registering a full year GDP growth of 6.7% in FY 2006 (July-June). Nevertheless, increasing political tensions coupled with a rising power crisis in Bangladesh are the main challenges for the economy which in turn could drain PC/Server market growth.
Among MNC PC vendors, HP led the market with 15.5% share of total PC shipments in Q2 2006, followed by Dell and Lenovo. Among local branded players, Daffodil and Flora are the major manufacturers of PCs in Bangladesh with a collective desktop market share of 5.6% in the same period. Although, the unbranded/white box market is the competitive leader in the desktop market, it experienced a decline in market share to 69.9% during the quarter. The aggressive pricing strategy followed by MNCs and local vendors’ affected the assembled market to an extent.
Among all product categories, the notebook market experienced the highest growth of 37.1% annually in Q2 2006 followed by desktop and X86 server segments. “With increasing competition and reducing prices, we expect the segment to continue leading the overall PC market in 2007 as well”, noted Manish Bahl, Senior Analyst of Springboard Research.
PC/Server consumption in the country continues to be dominated by the government and large corporate sectors such as telecom, banking and financial services in Q2 2006. The ongoing trend of automation of government departments generated substantial business opportunities for MNCs and local players in the second quarter of 2006. Under the new fiscal budget announced in June 2006, the Bangladesh government accorded the highest priority to the education and IT sector, with an allocation of US$1.6 billion, 20% higher than the previous fiscal year budget.
“Bangladesh is one of the fastest growing economies in South Asia. Recently, the government’s increased focus on the IT sector and investments from multinationals has led to the sector experiencing strong growth in the country. However, political transition before the next general election scheduled in January 2007 will be a major challenge to the country's macroeconomic stability. If the current political situation improves and stabili
Springboard Research, a leading innovator in the IT Market Research industry, today announced that the Bangladesh PC/Server market registered a growth of 27.5% to 54,522 in Q2 2006 (April-June) as compared to Q2 2005. The strong growth in the quarter was mainly driven by the increased IT spending by the government, telecom companies and financial institutions. In addition, the good performance of Bangladesh economy in Q2 2006 helped accelerate the country’s overall IT market, with the economy registering a full year GDP growth of 6.7% in FY 2006 (July-June). Nevertheless, increasing political tensions coupled with a rising power crisis in Bangladesh are the main challenges for the economy which in turn could drain PC/Server market growth.
Among MNC PC vendors, HP led the market with 15.5% share of total PC shipments in Q2 2006, followed by Dell and Lenovo. Among local branded players, Daffodil and Flora are the major manufacturers of PCs in Bangladesh with a collective desktop market share of 5.6% in the same period. Although, the unbranded/white box market is the competitive leader in the desktop market, it experienced a decline in market share to 69.9% during the quarter. The aggressive pricing strategy followed by MNCs and local vendors’ affected the assembled market to an extent.
Among all product categories, the notebook market experienced the highest growth of 37.1% annually in Q2 2006 followed by desktop and X86 server segments. “With increasing competition and reducing prices, we expect the segment to continue leading the overall PC market in 2007 as well”, noted Manish Bahl, Senior Analyst of Springboard Research.
PC/Server consumption in the country continues to be dominated by the government and large corporate sectors such as telecom, banking and financial services in Q2 2006. The ongoing trend of automation of government departments generated substantial business opportunities for MNCs and local players in the second quarter of 2006. Under the new fiscal budget announced in June 2006, the Bangladesh government accorded the highest priority to the education and IT sector, with an allocation of US$1.6 billion, 20% higher than the previous fiscal year budget.
“Bangladesh is one of the fastest growing economies in South Asia. Recently, the government’s increased focus on the IT sector and investments from multinationals has led to the sector experiencing strong growth in the country. However, political transition before the next general election scheduled in January 2007 will be a major challenge to the country's macroeconomic stability. If the current political situation improves and stabili
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