PC sales are down, way down, and falling. At least, typical PC sales (I tend to agree with the view that tablets can be classed as PCs) and, while I doubt we’ll ever see the end of desktop computing, that market is going to continue to shrink. For now, tablets may fill the void, but they’ll give way to smartphone all-in-one devices at some point.
This drop in sales isn’t news to most people, but I was surprised to find that it’s not just desktops and laptops, server sales are in decline as well. You’d think that with the rise of web and cloud services, along with the general return to client-server style architecture, they’d be on the up.
The problem is that, while everyone used to buy their own servers, one for each job/role, over-buying on the specs to ensure future-proofing, perhaps even buying a backup device, more and more people are opting for virtualisation (it’s estimated that by 2014 as much as 70% of new servers could be virtual). That means fewer boxes as the resources of one machine can be used to serve multiple tasks.
Added to this is the fact that the big boys (Google, Amazon, Facebook, etc) are building their own hardware, and allow people to buy those services as and when they need it, rather than having hardware sitting idle for most of its life.
It’s not just about better utilisation though, we’ve reached the point where we have more than enough computing power to do the majority of tasks. In fact, as far as desktop PCs are concerned, we probably reached that point several years ago. That’s part of the reason for the growth in tablets: the relatively little processing power they possess is more than capable. Continue reading