Citi Confirms That Demand For New PCs Is Up Due To Windows XP Retirement

Feels great when things go according to plan, right? PC hardware makers knew they were in for a solid one closer to the retirement of Windows XP, and now another report confirms that sales are up.

Following the recent reveal that the old OS reaching end of the line is helping increase PC sales, Citi Research has confirmed that more and more users are moving from the aging platform to a newer version of Windows, upgrading their hardware setups along the way.

Demand for new PCs, Citi says, went up this quarter, and is very likely to continue in the foreseeable future, as Microsoft pulls the plug and discontinues the popular Windows XP.

This report cites a Citi research paper:

“Corporate PC demand within mature markets (US, W. Europe, Japan) improved materially in [the fourth quarter], growing +10% y/y versus a +5% y/y growth in the previous quarter.

This was partly attributed to corporate customers upgrading their hardware (along with an OS upgrade) ahead of the Win XP expiration in April this year. PC OEMs are generally optimistic that such upgrades will continue into 1Q14.”

Microsoft is, obviously, pushing all users towards Windows 8.1, its newest operating platform.

At the same time, the software titan also wants to bring more affordable hardware devices to the market, and has, for this reason, offered lower licensing fees for OEMs that launch tablets and PCs under the $250 price tag.

A combination of all these factors seems to be doing the trick here. A fine trick.

Please Leave Your Comments Below...

  • Robert Trance

    Plan, and not “plane”

    • Fahad Ali

      Of course. Thanks!

  • Bill Franklin

    Common sense for PCs and Microsoft. Working together as usual to help one another. Beautiful business.

  • Jake

    People switching software look and see they can upgrade their hardware at the same time for $250 will be inclined to do so. This isn’t surprising and is exactly what Microsoft expected and wanted.

  • Emily W

    Funny. You have the tablet pushing down the demand for PCs, and at the same time, you have XP going out of style pushing the demand up for PCs. Somethings gotta give! 😉

  • Ray C

    This is good move. I just hope people are able to find a quality device in the $250 range