The sale of PCs falls and cryptocurrencies are partly to blame |North Chaco

2022-07-24 21:23:04 By : Ms. Ann Wang

The desktop and video game industry faces a tough outlook.Macroeconomic concerns such as inflation and rising interest rates hit the sector hard around the world.The war in Ukraine, the closure of Internet cafes and mining farms in China, the increase in energy and logistics costs around the world, seriously affected the PC market.After the boom of 2020, the sector is returning to pre-pandemic normality.Between 12% and 15% fewer PCs were sold than in the first quarter of the year, according to market reports from research firms IDC and Gartner.The document shows that the personal computer industry suffered a sharp drop worldwide in the second quarter of 2022 and, according to Gartner, it is the biggest drop in the global PC market in nine years.Although at first glance this data is not a good sign, it is important to remember that the sector experienced a boom during the pandemic and this decline can be interpreted as a return to normality.Despite the decline, the figure is not far below the initial pandemic level of 74.3 million in the second quarter of 2020 and is still well above the 62.1 million and 65.1 million computers sold in the second quarter. of 2018 and 2019 respectively.This means that the PC market is in good health.Interestingly, the drop in PC sales can be attributed in part to the high cost of GPUs today, an acronym for Graphics Processing Unit and it represents precisely the heart of a graphics card just like the CPU does in a PC.The prices of video cards, as they are commonly known, went through the roof due to the demand of "gamers" and miners and, according to analysts, do not adjust to the reality of their production costs.One of the reasons for their inflated values ​​was the crypto boom of 2021: the most powerful GPUs are also used to mine cryptocurrencies and their strong demand last year sent the price through the roof.On the other hand, the pandemic ushered in a new era of working from home, a trend that is likely to continue.People realized that their smartphones and tablets were not good for home office.This led to a mid-2020 sales boom for PCs that, unlike mobile devices, have better productivity tools, are multitasking, and more comfortable for video conferencing.And by spending more time at home, players realized that they had more free time, and they took the opportunity to update their equipment and try more powerful video games with more hardware requirements.Currently, video games continue to be the largest contributors in the sector and although the market for PC gaming content and services will go from US$35.3 billion to US$34.2 billion this year, gamers continue to spend money and buy new releases, upgrades and accessories.New generation products known to be on the way that fans are expecting include new CPUs and platforms from Intel and AMD and GPUs from Nvidia and AMD but also cryptocurrency farms ready to dump equipment." old" with less than two years old and pounce on the new plates.