Logitech has started to tail off, along with the PC market. It’s no secret that as PC sales start to decline PC accessory sales too go down the drain. But Logitech has managed to turn it around: this last quarter was its strongest since 2007. The secret? Logitech has pivoted away from the PC industry and towards mobile and tablets. Logitech has begun to produce to produce many more accessories for mobiles and tablets, and since it introduced its first line of iPad accessories in June 2011 under the name ZAGG its profits have risen from $8 million to $77 million. It’s a shrewd move for a company that’s been forced into different markets, one that doesn’t bode well for PC producers at all.
The world’s going mobile and the PC just can’t keep up. Recent reports indicate that last quarter, the number of tablets shipped was more than half the number of PCs, compared to the 3rd quarter numbers from November, which showed almost 1 in 4 computers sold were tablets. The trend does not show any sign of slowing down, and suggests more than a shift in computing hardware sales. Windows may now be losing its long-lived market dominance. Of all PCs and Tablets shipped in the 4th quarter, a third of them run OSX, iOS, or Android. The definition of “personal computing” is certainly changing. Will Microsoft be able to adapt in time?
If you’re wondering why there is a lack of PC news at the Lab, it’s for good reason. Gartner has just released numbers indicating a 4.9% drop in PC shipments from 2011. This appears to be due in large part to the growth of mobile as attention shifts towards mobile. While tablet owners aren’t ditching the PC just yet, they are not upgrading models at nearly the same rate.
Mobile sales surge in Asia, will soon overtake PCs