(Length: 18 pages)

Executive Summary (This is a document excerpt)

The number of PCs in use worldwide will reach almost 1.3 billion by the end of the decade — up from about 575 million today. With only about 150 million new PCs coming from mature PC markets in Europe, the US, and Asia, the rest will come from emerging markets like China, Russia, and India. Our forecast of the PC market in emerging nations is based on a macroeconomic analysis of 16 emerging markets representing 62% of the world's population. Our model forecasts that 566 million new PCs will be in use in these countries by the end of 2010. But today's products from Western PC vendors won't dominate in those markets in the long term. Instead, local PC makers like Lenovo Group in China and Aquarius in Russia that can better tailor the PC form factor, price points, and applications to their local markets will ultimately win the market share battle.