European PC market rebounds with strong revenue growth

The European PC market began 2025 with positive revenue growth across segments, as revealed by a recent analysis from CONTEXT, a market intelligence firm.

January's figures show a recovery in PC revenues, overcoming the traditional seasonal decline at the end of 2024. Notebooks, desktops, and tablets saw year-on-year revenue increases of 7%, 11%, and 11% respectively throughout European distribution channels.

"Our analysis shows a strong start to the year, with both notebooks and desktops trending above the market index," said Marie-Christine Pygott, Senior Analyst at CONTEXT. "Consumer sales, particularly in Germany, the UK, and Poland, have been a driving force behind this growth."

In the notebook segment, retail sales were a major contributor to growth. Germany, the UK, and Poland led this positive trend, primarily driven by retail. Germany reported a notable +36% year-on-year increase in consumer channels. Strong sales in entry-level business devices and Apple's newest MacBook models featuring M3 and M4 chips bolstered this growth.

The UK experienced substantial commercial growth, recording a +15% year-on-year increase. Poland, benefiting from the phase-out of government-issued education vouchers which had previously distorted the market, reported an +18% increase in retail performance.

However, Italy's notebook revenues were lower compared to past years mainly due to a decrease in education sector purchases, though the market did see a slight rise of +3% after adjusting for these factors.

Desktops also showed improvement, with key regions observing notable growth compared to the previous year. Germany, the UK, and Poland once again led the way.

In Germany, desktop sales grew by +21% in the commercial sector, a continuation of public sector investments from late 2024. Poland's retail performance was likewise strong, reporting a +33% rise.

Overall, the resurgence in desktop sales is partly due to weak performance in the previous year, highlighting the recent gains. CONTEXT highlights that retail channels surpassed business channels in notebook sales, driven largely by Germany and Poland.

Investments in business-specific devices are still cautious, influenced by ongoing economic uncertainties, especially in the Small and Mid-sized Business (SMB) segment. Nevertheless, CONTEXT forecasts a shift in this trend as the end-of-life for Windows 10 approaches, which could prompt a new wave of business investment in hardware upgrades.

"The cautious approach from businesses has held back IT investment, but we anticipate this will change as organisations gear up for Windows 10 end-of-life," added Marie-Christine.

With consumer-driven growth and initial signs of enterprise refresh cycles, the European PC market appears set for a continued recovery. "We will continue to monitor key trends, including the impact of IT budget adjustments and evolving demand patterns across both consumer and business segments," said Marie-Christine.