Windows PC sales languish in the fourth quarter, but Apple sales jump

By Preston Gralla

The news for Microsoft in the last few days has all been bad for Microsoft, but surprisingly good for Apple. Yesterday Microsoft warned that PC sales would fall one percent in the fourth quarter, and today Gartner confirmed that, saying they fell 1.4 percent. Meanwhile, Mac sales continue to spike. Is this a harbinger of worse things to come for Microsoft?

Yesterday Microsoft warned that because of flooding in Thailand, PC sales will drop one percent in the fourth quarter, according to Bloomberg.

Bloomberg notes that Windows sales haven't met Microsoft's estimates in three of the last four quarters, and quotes Brendan Barnicle, an analyst at Pacific Crest Securities, as saying:

"The Windows business is under siege. Windows is their [Microsoft's] most profitable business. If that's not stable for whatever reason -- Thailand, Apple -- it just becomes difficult for the stock to gain momentum."

Today Gartner released a report saying that PC sales fell 1.4 percent in the fourth quarter compared to a year ago, 92.2 million compared to 93.5 million in the fourth quarter of 2010.

There may be worse news ahead, because the report said that the Thailand flooding had only a "limited impact" on sales, but the impact would be more drastic in 2012.

Meanwhile, sales of Macs jumped 20.7 percent compared to the same time last year, reports TechCrunch.

PC sales languished in the fourth quarter primarily due to sluggish consumer demand, though business demand was stronger. So why did Mac sales jump while Windows PC sales dropped?

My guess is that Apple's targeted audience hasn't been hurt by the economy as badly as Windows buyers have. Macs are more expensive than comparably powered PCs, and Apple buyers likely have more disposable income than cash-straightened Windows buyers. Given that there's no clear way out of the sluggish economy, it may mean that Apple will continue gaining ground while consumer PC sales may remain lukewarm.