Who is ISoftStone? Mysterious tech company would become one of the largest PC suppliers in China, beating Huawei, HP and Apple
- ISoftStone has more than doubled its PC shipments in the third quarter of 2024
- I had never heard of the company until the name appeared in Canalys’ latest report
- ISoftStone provides Digital Innovation Service and is a pure B2B player
According to a recent analysis by Canalys, China’s PC market will see 6% growth by 2025, with strong public sector spending a key factor.
In a new reportThe analyst firm said it expects the recovery of the country’s PC market to be “sustained” over the next 12 months, with desktops and notebooks in particular growing 9% and 4% respectively.
But nestled among the details of Canalys’ recent research, the insights about a little-known regional supplier, ISoftStone, stood out.
Who is ISoftStone?
Admittedly, I had never heard of ISoftStone before the release of Canalys’ report, but the PC vendor took second place in the shipment rankings in the third quarter of 2024, which speaks volumes considering the fierce competition it faces by major industry players.
ISoftStone provides technological products and services that span both the business and consumer domains. Canalys’ report noted that the company posted strong performance in both the public sector and education markets in the third quarter of 2024, with gaming PC figures also raising eyebrows.
The company has experienced rapid growth over the past two financial years, Canalys notes. For example, in the third quarter of 2023, the company had only a 4% share of the regional PC market and shipped about half a million desktop and notebook units.
Fast forward to the third quarter of 2024, and the numbers are impressive, with ISoftStone having a 10% market share and shipping over 1.1 million units – that’s a 123% growth rate, according to Canalys.
All told, this meteoric rise puts the company on par with Huawei in terms of market share and gave the company an edge over both HP and ASUS. It’s still some way behind Lenovo, but this year’s growth figures indicate the company is showing no signs of slowing down.
ISoftStone: What’s behind the rapid rise?
A key factor in this impressive growth is the changing situation in the regional PC market, Canalys said. Since 2023, the space has undergone “significant shifts” – and the “growing presence” of domestic sellers has been a major talking point.
The government’s promotion of “Xinchuang,” or indigenous innovation, has “created an enabling environment for domestic vendors to thrive,” Canalys said.
Strong growth in the gaming PC segments could also be a leading factor here, with this particular area recording 24% growth in Q3 2024.
“Higher value PCs with AI or gaming capabilities have remained resilient despite broader market downturns, driven by higher expectations for strong user experiences,” said Emma Xu, analyst at Canalys.
What else has ISoftStone done?
On the international front, ISoftStone has been active of late, with reports from November 2024 highlighting the company’s involvement in the Kingdee Data Center in Singapore.
China’s Kingdee International Software Group has unveiled the launch of a new data center and office space in Singapore Data center dynamics The report will act as a “bridgehead and international business center.”
While Kingdee will provide cloud computing services as part of its expansion, iSoftStone will work closely with the company to provide global customers with digital solutions and services.