In 2025, the PC market experienced a resurgence, with shipments increasing by 9.1% after enduring prolonged declines. This marks a significant recovery, attributed primarily to corporate hardware refreshes driven by the migration to Windows 11. Businesses were prompted to replace older systems to comply with the operating system’s hardware requirements, ensuring compatibility and continued support.
Despite the hype around artificial intelligence features, traditional purchasing factors—such as price, battery life, and overall performance—continue to steer buying decisions. Enterprises, particularly in the fourth quarter of 2025, placed greater emphasis on these foundational aspects rather than on new AI capabilities. Although a majority of laptops now include neural processing units (NPUs), and a quarter feature next-gen AI hardware with processing capabilities exceeding 40 TOPs, the steep prices and scarcity of compelling AI applications have slowed adoption rates.
The average cost of business PCs in the UK experienced a decrease of 7% from the previous year, settling at approximately £1,000. Leading manufacturers like Lenovo, HP, and Dell capitalized on the demand spurred by the impending Windows 11 transition, though they encountered challenges, with sales falling short of expectations. Notably, Dell identified an overemphasis on premium product segments as a miscalculation in their strategy.
Additionally, the upgrade cycle has been further complicated by an impending increase in component prices. The rising demand for advanced memory in AI data centers—specifically high-bandwidth memory (HBM)—has precipitated DRAM shortages, which could pose significant hurdles for 2026. Nonetheless, in this period of recovery, the PC market’s revival underscores the enduring impact of fundamental performance attributes and the transition to Windows 11 over the anticipated AI-driven transformation.

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PC shipments grew 9.1% in 2025, driven primarily by corporate upgrades to meet Windows 11 hardware requirements rather than AI features. Traditional factors like price, battery life, and performance remain the dominant purchasing criteria for businesses. Despite most laptops now including NPUs and AI capabilities, high costs and limited compelling applications have slowed AI adoption. Average business PC prices in the UK dropped 7% to £1,000, while manufacturers like Lenovo, HP, and Dell saw lower-than-expected sales. Future component price increases due to DRAM shortages from AI data center demand may challenge the 2026 market.

Windows 11 Drives PC Upgrade Cycle Amidst Traditional Buyer Preferences