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Worldwide PC shipments continued to drop in the third quarter, falling by 11.6 percent over last year because of a slowing U.S. economy and market saturation, according to preliminary data from Gartner Dataquest.

Round Rock-based Dell Computer Corp. shipped 4.2 million units and was the only company to see its market share grow, moving up 10.8 percent to take a 13.8 percent share. Houston-based Compaq Computer Corp. saw its shipments drop 31.1 percent to 3.1 million, taking a 10.4 percent share of the market. Hewlett-Packard saw its shipments fall 17.2 percent to 1.9 million for a 6.4 percent share.

Gartner analyst Charles Smulders said terrorism has had mixed results, with Dell recovering swiftly and Compaq reporting as many as 300,000 cancellations.

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