Replacing outdated PCs has become increasingly urgent for businesses as security risks grow, downtime becomes more costly, and older systems struggle to keep up with modern software and workloads. Compounding this issue, shifting technology requirements and increasing hardware costs are making these upgrades harder to delay.
At the same time, generative artificial intelligence (AI) is generating a lot of buzz in the corporate world due to its ability to automate time-consuming tasks. However, the actual motivation to refresh PCs is being driven by more immediate reasons you may not be aware of.
This blog post helps you understand what’s actually driving these upgrades, and how Techmedics can help you make smarter IT procurement decisions.
According to new figures released by American technology insights firm Gartner, global computer shipments for the fourth quarter of 2025 increased by 9.3% compared to the same period last year.
Throughout 2025, the PC market grew 9.1% compared to 2024, shipping more than 270 million units. This is a significant change after two years of shipment decline in 2022 and 2023, and small increases in 2024.
Gartner attributes the rise to three main reasons: tariff volatility, expected memory price hikes in 2026, and increasing Windows 10 Extended Security Updates costs.
During the Trump administration, the US imposed and threatened tariffs on a wide range of goods, including electronics and components. Such measures were often renegotiated, delayed, or adjusted, leading to unpredictability for manufacturers and importers.
To avoid the risk of paying higher import taxes, PC makers and buyers (such as businesses) stocked up early. This temporarily boosted shipment numbers.
Companies like Nvidia, Google, and AMD are buying massive amounts of flash memory and RAM to power generative AI workloads. As a result, fewer components are becoming available for consumer smartphones and PCs, driving memory prices up.
Much like the unpredictability caused by tariffs, businesses and consumers are now rushing to purchase PCs before memory costs rise, allowing them to lock in lower prices.
When Microsoft officially ended support for Windows 10 on October 14, 2025, the company stopped releasing all security updates and IT assistance for the operating system (OS). This leaves remaining Windows 10 devices susceptible to malware, credential theft, and exploit-based attacks.
Despite this discontinuation, the software giant is offering businesses the Extended Security Updates (ESU) program, a way for their systems to continue receiving critical security updates.
Unfortunately, this costs businesses $61 per device for the first year, and the price doubles annually for up to three years, equal to about $427. This means if your business has 100 PCs, ESU will run you a total of $42,700 just to stay with Windows 10.
As a result, organizations are realizing that it’s more economical to replace aging machines and upgrade to Windows 11. By doing so, they get more features and ensure compatibility with business software. Plus, they future-proof their IT environment and keep their data and systems secure from cyberthreats.
Gartner acknowledges that generative AI, particularly AI PCs, partially contributed to the increase of PC shipments. AI PCs are laptops or desktops built to run AI processes or apps within the device, reducing reliance on online platforms like ChatGPT or Gemini.
For instance, AI PCs can handle tasks like image recognition, language translation, and voice transcription. They can also summarize documents, generate text or images, and offer live captioning.
However, Gartner notes that most of these AI PC features have yet to deliver significant productivity gains for businesses compared to their cloud-based counterparts. This is likely due to organizations not yet fully integrating AI PC features into their workflows.
Meanwhile, cloud-based AI tools are more immediately useful as they are already embedded in platforms like Microsoft 365, Google Workspace, collaboration suites, and CRM platforms. AI PCs can also handle smaller, lighter tasks compared to cloud AI services that run on powerful server clusters.
“As a result, many organizations are upgrading primarily to future-proof their fleets, rather than to realize immediate business value from AI capabilities,” Gartner concluded.
With rapidly shifting trade policies, growing prices of components, and costly extended Windows 10 updates, it’s critical for your business to have a partner that can help you secure the right technology that balances cost efficiency with long-term business value. That’s where Techmedics can help. Some of our IT procurement services include:
Our team sits down with you to understand your current IT environment, goals, and budget constraints, so you can be sure that we’ll provide you with the right IT assets. The best part? We serve businesses of all industries in Dallas, Denver, Las Vegas, Los Angeles, and Phoenix.
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