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PC Makers Intensify Chip Stockpiling to Fight Shortages

PC sales in Q1 2021 tallied 83.981 million units, up 55.2% year-over-year, and all of the leading PC makers reported huge revenue gains for the first quarter. However, meeting the extraordinary demand was a big challenge for suppliers as pretty much every PC component suffers from ongoing shortages.

Both Dell and HP expect demand for PCs to remain strong (and even grow) in the coming months, but a resurgence of COVID-19 in Southeast Asia has complicated an already-dicey situation. In a bid to satisfy demand, large PC makers have begun stockpiling some components, making the shortages worse for other players. 

Supply Constraints to Persist, But Stockpiling Helps

Strong demand is good for the PC business, but suppliers have to source enough components to meet that demand. That’s not an easy task amid ongoing global supply constraints.  

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