Nvidia, Apple, Microsoft And Others Set To Lose As Gartner Predicts Demand Softness For Smartphones, PCs In 2022

• China's economic slowdown and inflation-led drop in consumer spending will likely weigh on the global shipments of computers and smartphones in 2022, as per a Reuters story citing research firm Gartner.

• Earlier this month, Advanced Micro Devices, Inc (NASDAQ: AMD) warned against a slowdown in the PC market after two solid years. Analysts expected the chipmaker to gain market share amid odds.

• Shipments to China, the leading smartphone market, will likely shrink by 18% due to the COVID-19 curbs that halted activity in key economic hubs, including Shanghai.

• Gartner sees a 7% decline in global smartphone shipments (higher than the previous estimate of 2.2%), reflecting the impact of the supply chain crisis and the Russia-Ukraine conflict on demand.

• Gartner expects global computer shipments to drop 9.5% in 2022.

• Lenovo Group Ltd (OTC: LNVGY), HP Inc (NYSE: HPQ), and Dell Technologies Inc (NYSE: DELL) feature among the top three PC makers.

• The demand softness will weigh on companies ranging from Nvidia Corp (NASDAQ: NVDA) to Apple Inc (NASDAQ: AAPL) and Microsoft Corp (NASDAQ: MSFT), likely to report second-quarter earnings starting July.

• The smartphone and PC market immensely gained from the pandemic, which forced the world to stay home and work, study, shop, and pursue recreational activities online.

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