Q3 printer market shares - HP owns half the market

Printer makers shipped more units in the third quarter than in the same period last year but saw fewer dollars amid stiff price competition, according to a new report from Gartner Dataquest.

Printer revenue totalled $1.7bn in the third quarter, down 11 per cent from the same period a year ago, the market researcher said. Unit shipments reached 5.82 million in the quarter, up 5.8 per cent from a year earlier.

Hewlett-Packard held the top spot in market share with 52.6 per cent. Lexmark was second with 21.8 per cent, followed by Epson, which had 13.9 per cent, and Canon, with 7.7 per cent.

Among consumers, colour printer shipments got a boost from the growing popularity of digital photography, according to Gartner Dataquest. Those gains, however, were offset by weak spending among businesses, which view colour printers as a luxury item.

About 96,000 colour printers were shipped to businesses in the third quarter. That's up 49 per cent from a year ago but is still a small portion of total printer shipments.

With a competitive market, Gartner Dataquest said incumbent vendors have an advantage because they have the market share and revenue from supplies such as ink.

HP has upped the ante recently, announcing a host of colour inkjet printers designed for businesses and consumers. Meanwhile, Dell Computer has teamed up with Lexmark to offer Dell-branded printers and ink supplies.

Larry Dignan writes for CNET News.com.