No Windows 10 launch bounce expected by component makers

Third-quarter orders for PC components show no upturn this year, according to reports from the Far East

Orders from electronics component manufacturers in the Far East suggest that neither the launch of Windows 10 at the end of July, nor Intel's new microprocessors in the autumn, will reinvigorate the moribund PC and laptop market.

According to a report in the Taipei-based electronics business daily Digitimes, orders for integrated circuits for devices to go on the market in the third quarter remain flat, suggesting that components manufacturers and PC makers do not expect an upturn in sales following the launch of Windows 10. The third quarter is also when PC makers would be gearing up for anticipated Christmas sales.

However, the same metrics also indicate that demand for smartphones and other mobile communications devices is increasing, according to Digitimes' sources. "Clients are gearing up for their new product releases in the second half of 2015, while orders are returning from China and other emerging markets," reports Digitimes.

It continued: "Some Taiwan-based IC [integrated circuit] design firms are set to report better-than-expected sales results for May, buoyed by a recent pull-in of orders for smartphones and consumer electronics devices. The firms are expected to enjoy double-digit sequential growth in third-quarter revenues if the orders remain strong, according to industry sources."

The latest reports are consistent with reports earlier in the year that also indicated that neither Microsoft's new operating system, nor Intel's latest microprocessors, would stimulate a long-awaited spike in PC and laptop sales.

Any sales spike has also been blunted by Microsoft's decision to give away Windows 10 free to existing users of Windows 7 and 8 in order to shift the market onto a common code-base.