① Morgan Stanley believes that artificial intelligence personal computers (AI PCs) will usher in a new era and may trigger the renewal of commercial personal computers; ② Damo predicts that the market share of AI PCs will increase year by year and will account for 64% by 2028; ③ More corporate chief information officers are evaluating or planning to evaluate the commercial value of AI PCs.
Financial Services Association, May 27 (Editor Zhou Ziyi) According to an in-depth report by Morgan Stanley, the artificial intelligence (AI) enabled personal computer (PC) launched by Microsoft last week ushered in a new era and could trigger an update of commercial personal computers.
Damo's report, “Artificial Intelligence PCs Will Lead the Next Stage of Growth in the PC Market,” says, “We think the commercial PC market will be the first adopters of AI PCs because they are mainly marketed as productivity tools.”
In addition, key factors that will accelerate the growth of the PC market in the second half of 2024 and 2025 include: the installed base of commercial PCs increased by 13% compared to before the COVID-19 pandemic; support for Windows 10 systems will stop next year.
According to Morgan Stanley's prediction of the future popularity of AI PCs, this new type of computer will account for 2% of the total PC market by 2024, and will continue to rise in the next few years. It is expected to reach 16% in 2025, 28% in 2026, 48% in 2027, and in 2028, AI PCs will occupy 64% of the market share.
According to a survey of CIOs, 75% of CIOs in the US and Europe are evaluating or planning to evaluate the new AI PC product.
PC market recovery
Over the past few years, the overall growth rate of the PC market has slowed markedly, with shipments falling from 343 million units in 2021 to 284 million units in 2022, and then to 247 million units in 2023.
However, commercial demand began to pick up in the first quarter of 2024, although consumer PC demand remains sluggish, indicating a possible recovery in the market.
By running artificial intelligence inference directly on the device, AI PCs can provide lower cost per query, shorter latency, unlimited personalization, better usability, and better privacy and security.
According to the CIO survey mentioned above, interviewees believe that as more workloads are carried out through hybrid environments, the surge in AI PCs will reduce the percentage of AI workloads in cloud computing over the next three years.
Dell CEO Michael Dell also recently pointed out that artificial intelligence inference running on local devices is 75% more cost-effective than running in the cloud.
Morgan Stanley says major US companies benefiting from the rise of AI PCs include$Dell Technologies (DELL.US)$,$HP Inc (HPQ.US)$,$Apple (AAPL.US)$,$Qualcomm (QCOM.US)$,$Intel (INTC.US)$,$NVIDIA (NVDA.US)$,$Arm Holdings (ARM.US)$, and$Microsoft (MSFT.US)$.
Editor/Somer