The European Personal Computer Market

Overview of the European PC Market

This report, dated November 2, 1988, analyzes the European personal computer market. It focuses on the anticipated unification of the European Community by 1992, which was expected to remove trade barriers and create a more integrated market for computer vendors.

Key Highlights:

• Market Dynamics: The report identifies a rapid growth phase for the European PC market, driven by increased demand for higher-performance systems and a diversifying product landscape.
• Market Leaders: IBM, Amstrad, and Olivetti are identified as the primary market leaders in terms of units shipped and revenue. The analysis highlights significant variations in market share among different research firms due to differing definitions of "personal computer" and the inclusion/exclusion of low-end home systems.
• Distribution Strategies: Vendors utilized three primary channels: direct sales (mainly to large accounts), authorized dealers/distributors, and mass merchandising (for low-end home/education systems). There was a notable trend toward dealers becoming value-added resellers (VARs) to navigate intense price competition.
• Technological Shifts: The report tracks the transition from 8-bit to 16-bit and 32-bit architectures, with 80286-based machines gaining significant traction and 80386-based systems positioned for future growth.
• Regional Analysis: Detailed country-specific data provided insights into market penetration, growth rates, and dominant vendors across various European nations, noting that market characteristics and competitive landscapes varied significantly by country.