Gartner Dataquest Revises Third-Quarter PDA Results Based on Vendor Adjustments
Hewlett-Packard Restates PDA Shipment Information for 3Q02
SAN JOSE, Calif., October 31, 2002 — Revised shipment numbers by one of the top-tier vendors have significantly changed the preliminary worldwide and U.S. PDA shipment results by Dataquest Inc., a unit of Gartner, Inc. (NYSE: IT and ITB).

Gartner Dataquest's restated numbers show worldwide PDA shipments totaled 2.55 million units in the third quarter of 2002, a decrease of 2.4 percent from the same period last year. In the U.S. PDA market, shipments totaled 1.21 million, a 1.4 percent decrease.

"HP's worldwide shipment numbers have been lowered by 89,000 (approximately 23 percent) from previous estimates due to a discrepancy in its earlier tabulations," said Todd Kort, principal analyst for Gartner Dataquest. "Based on this new information, market growth rates have declined, showing that the PDA industry is struggling more than previously reported."

The new results drop HP to the No. 3 PDA vendor worldwide, and move Sony up into the No. 2 position (see Table 1). At the top spot, Palm's market share has improved to 31.7 percent worldwide and 41.7 percent in the U.S. PDA market (see Table 2).

Table 1
Worldwide PDA Unit Shipment Estimates for 3Q02 (Units)
Company 3Q02 Shipments 3Q02 Market Share (%) 3Q01 Shipments 3Q01 Market Share (%) Growth (%)
Palm 808,805 31.7 754,810 28.8 7.2
Sony 344,963 13.5 90,690 3.5 280.0
Hewlett-Packard 292,850 11.5 317,890 12.1 -7.9
Toshiba 144,391 5.7 8,000 0.3 1,705.0
Handspring 100,100 3.9 353,642 13.5 -71.7
Others 863,823 33.8 1,093,786 41.8 -21.0
Total Market 2,554,932 100.0 2,618,818 100.0 -2.4
Note: Does not include smart phones such as Kyocera 6035, Samsung I-300, and Handspring Treo 180.
Source: Gartner Dataquest (October 2002)

The Palm OS accounted for 50.2 percent of the worldwide PDA market in 2002, compared to 28.3 percent for Microsoft Windows CE. In the U.S. PDA market, Palm OS comprised 69.5 percent of all PDA shipments, while Windows CE was on 19.7 percent of PDAs shipped.

Table 2 U.S. PDA Unit Shipment Estimates for 3Q02 (Units)
Company 3Q02 Shipments 3Q02 Market Share (%) 3Q01 Shipments 3Q01 Market Share (%) Growth (%)
Palm 505,000 41.7 479,000 39.0 5.4
Sony 240,000 19.8 50,000 4.1 380.0
Hewlett-Packard 117,000 9.7 150,000 12.2 -22.0
Handspring 80,000 6.6 276,000 22.5 -71.0
Toshiba 70,180 5.8 NA NA NA
Others 197,806 16.3 272,753 22.2 -27.5
Total Market 1,209,986 100.0 1,227,753 100.0 -1.4
Note: Does not include smart phones such as Kyocera 6035, Samsung I-300, and Handspring Treo 180.
Source: Gartner Dataquest (October 2002)

This information is preliminary. As Gartner Dataquest analysts cross check statistics through their evaluation process, final numbers will be available soon to clients of Gartner Dataquest's Computing Platforms research cluster. This program is designed to help companies focus on opportunity, with coverage of the complete range of computer hardware platforms as well as associated supply chain components, systems, distribution channels and end-user groups. For more information on how to subscribe to this program, please call 408-468-8000. Reports can be accessed on the Internet at www.gartner.com.

Gartner Dataquest is the leader in providing the high-technology and financial communities with market intelligence for the semiconductor, computer systems and peripherals, communications, document management, software, and services sectors of the information technology industry.

About Gartner
Gartner, Inc. is a research and advisory firm that helps more than 10,500 clients understand technology and drive business growth. Gartner's businesses consist of Gartner Research, Gartner Consulting, Gartner Measurement and Gartner Events. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, and has 4,000 associates, including 1,200 research analysts and consultants, in more than 90 locations worldwide. Fiscal 2001 revenue totaled $963 million. For more information, visit www.gartner.com.
Contact:
Tom McCall
Gartner
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tom.mccall@gartner.com