Tag: ipad

Tablet shipments slow right down

Posted on August 6, 2013 by - News

cheap-tabletsThe tablet market appears to be overheating and according to IDC’s latest report global shipments slowed down in the second quarter. It appears that many consumers are waiting for new iPads and cheap Androids are not filling the gap.

IDC said unit sales dropped 9.7 percent to 45.1 million last quarter thanks to soft demand for iPads. Shipments of Apple’s tablets dropped to just 14.6 million units, down from 19.5 million in the first quarter. IDC’s original forecast was 17 million, but it appears consumers had other things in mind.

Despite the dip, Apple is still the daddy of the tablet market, with a 32.4 percent market share. For some reason Samsung managed to grab an 18-percent share, despite the fact that its tablets are overpriced and underspecced.

Thanks to its massive market share, Apple’s woes tend to have an immediate effect on overall unit sales. The trouble for Apple is that it simply does not have any fresh products to offer. The iPad and iPad mini are getting old and a refresh is expected over the next few of months. Consumers are simply putting off their purchases until Cupertino rolls out something new, i.e. a Retina iPad mini.

“A new iPad launch always piques consumer interest in the tablet category and traditionally that has helped both Apple and its competitors,” said Tom Mainelli, Research Director, Tablets at IDC. “With no new iPads, the market slowed for many vendors, and that’s likely to continue into the third quarter. However, by the fourth quarter we expect new products from Apple, Amazon, and others to drive impressive growth in the market.”

A long Apple drought seems to be just what the doctor ordered for makers of Android tablets, but they don’t appear to be capitalizing on iPad fatigue.

Asus shipped just 2 million units for a 4.5 percent share. Lenovo was in a close second with 1.5 million units and Acer is in hot pursuit with 1.4 million.

To be fair, Android peddlers also had their share of problems. New high-end designs based on Qualcomm’s Snapdragon 800 have yet to materialize, Nvidia’s Tegra 4 was delayed and the first products have started shipping just a few days ago, at the very end of the second quarter. The new Nexus 7 is out, but it also launched too late to make a mark in Q2.

However, IDC believes new tablets from both camps should have a massive effect on shipments toward the end of the year. As for Windows RT and Windows 8.x tablets, we’re not sure they’ll make much headway this year.

Mobile POS market to grow grow grow

Posted on July 31, 2013 by - News

tablet-POS-cash-registerTablets and smartphones are synonymous with cannibalisation and the smart-device craze is now taking its toll on the POS market. Apple pioneered the use of tablets in a POS setting and it didn’t take long before the rest of the industry recognised the advantages of mobile POS solutions.

According to a report from IHL Group, 28 percent of US retailers plan to “embrace” mobile POS by the end of the year. In America alone, the mobile POS market is expected to be worth over $2 billion this year, reports Forbes.

However, not everyone wants an iPad cash register. The report also found that a third of retailers don’t plan to deploy mobile POS devices over the next three years. Although most retailers could benefit from sleeker and smarter POS solutions, some don’t believe they are worth the investment. This is probably true of small outfits operating on a shoestring, as they are more likely to use existing POS systems for as long as they can.

The advantages of mobile POS solutions are quite obvious. They rely on relatively cheap off-the-shelf consumer gear like iPads and Android tablets, backed by a legion of cheap and eager developers who can take care of software. Furthermore smart devices are available in a wide range of form factors, they are very portable and they can handle all sorts of payments. Ruggedized devices are available, too.

It is not a case of going out, buying a tablet, then looking for adequate software. Big players have recognised the trend and they are already offering the whole monty. Last month HP announced a new POS solution based on a run of the mill ElitePad tablet, in a fancy jacket designed specifically for POS applications.

iPad market share at an all-time low

Posted on July 29, 2013 by - News

cheap-tabletsApple’s share of the tablet market appears to be at an all-time low, thanks to strong competition from cheap and cheerful Android tablets.

Despite the slump, Apple still remains the biggest player in the tablet market, but it is no longer the only outfit in town.

According to Trend Force, iPad sales dipped from 17 million to 14.6 million units last quarter. It ended the quarter with a 35.5 percent market share. Samsung ranked second with 8.8 million units and a 21.4 percent share. This is rather surprising, since Samsung’s tablets tend to be overpriced and overhyped.

Asus wound up in a distant third spot, with shipments of 1.6 million and a 3.9 percent market share. Acer wasn’t far behind, with 1.5 million units and a 3.6 percent share. Amazon ranked fifth with 1.1 million units and a 2.7 percent share.

Microsoft and Google in next, at 0.9 million and 0.7 million respectively and the figures are surprising to say the least. Google’s Nexus 7 was supposed to be a cheap, high volume device, but it seems it was outpaced even by Microsoft’s Surface tablets.

It should be noted that Apple is gearing up to introduce the fifth generation iPad and the second generation iPad mini. It current line-up is rather dated and the new iPads could turn things around. Google introduced the new Nexus 7 last week and it is getting some very positive reviews as we speak.

However, we believe the most interesting number in the report has nothing to do with Apple, Samsung or Google. Makers of white-box tablets sipped 9.7 million units last quarter, for a combined market share of 23.5% percent. In other words for every Surface RT or Nexus 7 tablet sold last quarter, nameless Chinese manufacturers sold ten of their equally nameless tablets.

Apple on schedule for next gen iPad

Posted on July 8, 2013 by - News, Products

applecoreSupply chain whispers in Taipei assert that Apple is on schedule to gets its next generation, 9.7 inch iPad out for September.

The iPad mini, meanwhile, may be tinkered with to improve the specs and make it more appealing.

Digitimes thinks the 9.7 inch tablet will sport a slimmer bezel design to make the viewing area larger, with improved battery and half the LED tubes. Upstream suppliers, Digitimes’ sources say, are done with the preparation so last minute spec updates are unlikely. A slimmer bezel would be more in line with Samsung and HTC smartphone designs.

The rumour is suppliers haven’t had word from Apple on the amount they should put out just yet are are shipping for pilot productions, but that will be able to meet initial launch demand. Shipment estimates are expected early August at the latest.

Apple, the sources say, is pondering whether or not it wants to bung a retina display on the 7.9 inch iPad mini. If so, this could lead to delays.

Apple retail revenue is $58 per customer

Posted on May 21, 2013 by - News, Products

iPad-miniApple has been in the news for all the wrong reasons lately. Its falling share price has been a source of concern for Wall Street, the lack of revolutionary products is another, and a big gap in the update cycle is yet another. However, Apple’s retail operations are going from strength to strength.

In fact, the average Apple consumer who happens to walk into a retail store nets the company $57.6, twice as much as shoppers who enter Tiffany shops, minus those who ask for breakfast. According to Apple’s latest financials, retail numbers are still going strong, reports Hot Hardware.

The number of average visitors per store was about 250,000 per quarter, up from 170,000 in the same period three years ago. It is worth noting that the iPad launched three years ago, which should explain the sudden spike in numbers. However, the iPad mini was introduced last year and it does not seem to have had much of a negative impact on retail spending, despite the fact that it is significantly cheaper than the full size iPad.

In addition to the second generation iPad mini with a high resolution display, Apple is widely expected to introduce a cheaper version of the iPhone later this year. Although it is supposed to be designed with emerging markets in mind, a cheaper iPhone could also cannibalize sales of the flagship iPhone in developed markets. The exact same trend was observed in the quarters following the iPad mini launch.

With that in mind, the average Apple retail consumer might start to spend a bit less, as more and more of them are likely to opt for the iPad mini and cheaper iPhone over their bigger and pricier siblings.

Education hardware sees growth

Posted on April 30, 2013 by - News

ClassroomEducation hardware spend grew in 2012.

According to Futuresource Consulting, the sector saw an increase of 23 percent to a total spend of $11.6 Billion, from 2011.

The analyst company said this was a strong result compared to other markets and considering the pressure on education budgets across the world.

Looking to the future, the company predicted that the total value is expected to   reach $21 billion by 2017, a CAGR of 12 percent from 2012 to 2017.

It also claimed that as well as raking in the cash the education sector was slowly moving digital, potentially opening up a wide range of revenue stream opportunities in hardware, software, content, infrastructure and services for suppliers.

This increase of spend in education technology has been driven by the uplift in the mobile PC market, which at $6.8 billion, now accounts for 59 percent of the total spend, up from 51 percent.

The explosion of tablets and ‘one to one learning programmes’ primarily driven by the iPad and now the iPad mini, are also expected to accelerate growth in 2013.

And traditional education tools are also helping fuel revenue. In 2012, a million interactive board displays were sold, marking an annual increase of 15 percent the company said.

The interactive projector market is  also expected to have some of the greatest growth in the classroom technology market, with a 2012 – 2017 volume CAGR of 19 percent.

Tablets a boon for shops

Posted on March 21, 2013 by - News

stylustabletWhile the humble desktop PC emits a death rattle across Europe, consumers are flocking to tablets – devices which tend to be much more comfortable to keep on your lap when channel surfing.

According to analyst house Context, tablet sales have increased an enormous 350 percent in a single year, proving a boon to retailers who had the foresight to invest in the devices. Global MD of retail research at Context, Adam Simon, pointed out that there is a shift away from online-only retail channels, giving bricks and mortar stores the opportunity to capitalise while the consumer embarks on its cheap-and-cheerful tablet frenzy. Amazon is an example, which now stocks the Kindle in regular stores.

Click and collect is an emerging trend which is also helping the traditional retailers. Rather than waiting for the postman to stealthily drop in a “Sorry you weren’t at home” card in the nanosecond he or she was at the door, customers order online and pick up their product from a designated site. This is a pretty neat option because you don’t need to take a week off work to make sure you catch your delivery. Argos has enjoyed success with this model.

Of course, Apple is still very popular, but Context pointed out that top tablets in Western Europe also included the Samsung Galaxy Tab 2 7.0, the Galaxy Tab2 10, and the Nexus 7. Samsung’s laughing.

Context tablet analyst Salman Chaudhry said in a statement that Apple’s show and play concept “was a real leader and taught consumers to enjoy experiential purchases while also creating links between their own stores and other retail outlets”.

“Various tablet vendors are now following these footsteps by making more devices available in stores for people to trial before they buy, with even Google getting in on the act with their stands in PC World,” Chaudhry said.

 

Apple selling refurbished iPads in online store

Posted on March 15, 2013 by - News, Products

refurb-ipadConsumers want cheaper tablets and even Apple has given in to the trend, with the introduction of the iPad mini last year. Now it is going a step further, by selling refurbished iPads online.

Appleinsider reports that Apple is already listing a number of refurbs in the US. For example, a black 32GB iPad mini with Wi-Fi and cellular is up for grabs for $429, while a Wi-Fi only 32GB white unit goes for $389. Fourth generation 9.7-inchers are also there. A Wi-Fi only 16GB Retina pad will set you back $449, while a black one with Verizon cellular is priced at $579.

Although they are refurbished, they are hardly bargains. Going for a refurbished iPad mini should save consumers $30 to $40 depending on the SKU, or $50 on Retina 9.7-inch models. They are still a lot pricier than brand new Android tablets, but there is a very good reason for that.

Apple still enjoys a comfortable lead in the tablet space, courtesy of its app ecosystem, which is second to none. Demand for Android tablets is going up, but consumers are going after cheaper models, not high-end gear with HD screens.

Surface tablet sales fall short, resemble Zune

Posted on March 15, 2013 by - News, Opinions, Products

surface-rtOh dear. It looks like the sceptics were right, Microsoft’s Surface tablets are lemons. Bloomberg is reporting that Microsoft has sold about 400,000 Surface Pro tablets since their debut last month. In addition, it only managed to sell a little over a million Surface RT tablets.

Microsoft reportedly ordered three million Surface RT tablets last year, but sales never picked up and Redmond was forced to scale back the order. 

The lacklustre figures come as no surprise. Earlier this year it emerged that the RT faced high return rates and very low sell-through, with shipments totalling just 900,000 units in the first quarter of sales. The Surface Pro did not fare any better. It got relatively negative reviews and since it is quite a bit pricier than the RT, consumers don’t seem keen to make the leap of faith.

JMP Securities analyst Alex Gauna told Bloomberg that Microsoft has failed to prove that Windows has a place in a new world dominated by touchscreens.

“It’s pretty clear that things were bad entering the year, and at least for the moment they’re getting worse,” he said. “The path to a successful Surface, in the same way that they were successful with Xbox, is not very clear to me right now.”

Apple still commands a 50+ share of the tablet market, although it is projected to slip under 50 percent later this year. Analysts put Apple’s iPad shipments in Q4 at 22.9 million units, which dwarfs every single competitor. However, Apple is losing share to Android, not Windows.

IDC reckons that the share of Windows RT tablets will stay below 3 percent through 2017, while Windows 8 could end up on 7.4 percent of tablets, in 2017 of course. In other words, Windows tablets are going nowhere, fast.

iPad mini sales figures prove Steve Jobs wrong

Posted on March 4, 2013 by - News, Products

iPad-miniLess than three years ago, Apple boss Steve Jobs famously proclaimed that 7-inch tablets would be dead on arrival. However, according to the latest NPD DisplaySearch statistics, small tablets are doing rather well and Apple’s own iPad mini is overtaking full size iPads.

The iPad mini got a lukewarm reception when it launched last year. Many tech hacks did not like it, although the usual shills went out of their way to prove that it is the best thing since sliced bread, but on the whole it was just a repackaged iPad 2 with a somewhat smaller screen. However, it did have a couple of things going for it. It was a lot smaller and lighter than 9.7-inch iPads, and it launched at $329.

Many didn’t believe Apple would experience much cannibalisation, as the iPad 3, with its gorgeous Retina display, was in a league of its own a year ago and the iPad mini seemed like a compromised product with subpar specs. It was thought there was enough of a gap between the two form factors to prevent cannibalisation. That assumption was wrong.

NPD’s figures show that shipments of 9.7-inch panels fell off a cliff over the past couple of months. Total shipments in December were 7.4 million, but late last year Apple kindly asked Sharp to reduce production to a minimum, so January shipments were just 1.3 million. Meanwhile shipments of 7.9-inch panels increased, hitting 5 million units in January.

NPD DisplaySearch reckons Apple was planning to ship 100 million iPads in 2013, but that figure has now been revised to 88 million units. Apple originally expected it could sell 60 million 9.7-inch iPads and 40 million minis, but now it seems that it will sell just 33 million 9.7-inchers and a whopping 55 million iPad minis.

Apple was never afraid of cannibalisation. If it came up with a new product, it would let it eat into sales of existing products, no questions asked. It is better to cannibalise your own sales than to have someone else do it for you. However, Apple might be getting a bit more cannibalisation than it bargained for, coming from a dead-on-arrival 7-inch tablet. It is also worth noting that the iPad mini was the first iOS product Steve Jobs did not sign off on. Intel has never mastered the art of cannibilisation.

iPad thrashes Android tablets in enterprise

Posted on February 27, 2013 by - News, Products

ipad-enterpriseAlthough Apple is losing tablet market share to cheaper Android tablets, the iPad is still the clear leader in corporations.

According to a report from mobile device management outfit Good Technology, the iPad accounted for 93.2 percent of tablet activations across its business oriented consumer base. Android ended up with just 6.8 percent.

Mind you, Good Technology serves one in two Fortune 100 companies, which means its clients are not Facebook addicted teens.

However, Google is making up ground. A year ago, Google’s share of tablet activations was a mere 2.7 percent and it more than doubled in under a year. At this rate it will barely creep into double digit territory by the end of 2013.

Good Technology attributes Apple’s massive lead in business to a combination of factors, such as BYOD, the sheer popularity and user base of the iPad and the consumerization of IT. Then there is the ecosystem. Apple still enjoys a clear lead in iOS productivity apps and tablet centric apps in general.

Oddly enough, Apple’s lead extends to smartphones as well. The business crowd is usually associated with boring BlackBerry devices, but Good’s figures reveal that the iPhone accounted for 77 percent of activations across its user base and its share is still growing. It was 71 percent in Q4 2011. The ecosystem gap between iOS and Android is not as significant in phones as it is in the tablet space, so it is more than likely that business users are choosing it for the sake of compatibility, or superior build quality.

Now it’s Microsoft’s turn to take on the iPad in enterprise, with Windows RT and Windows 8 tablets. And fail.

Surface RT faces high return rates, low sell-through

Posted on February 1, 2013 by - News, Products

surface-rtMicrosoft’s Surface RT tablet rollout came and went without much fanfare. Although Redmond’s first crack at the tablet market received relatively positive reviews, consumers seem unfazed and many of them are choosing to trade in their new tablets.

IHS iSuppli estimates that channel shipments totaled about 1.25 million units, but far fewer have been sold. In fact, as little as 680,000 to 750,000 units appear to have actually been sold.

Apple’s down but it’s far from out

Posted on January 24, 2013 by - News, Opinions

Apple, iPadConsumer behemoth Apple reported its first quarter financial results yesterday and while it posted revenues of $54.5 billion and a net profit of $13.1 billion, compared to revenues of $46.3 billion and profits of $13.1 billion in the same financial quarter last year, profits were flat.

Gross margin fell to 38.6 percent compared to 44.7 percent in the same quarter last year. Apple is forecasting gross margins between 37.5 percent and 38.5 percent for its second quarter, with estimated revenues between $41 billion and $43 billion.

So, what’s the problem? CEO Tim Cook said that supply problems were a matter to be concerned about, despite media reports.  And Apple has got a stash of cash in its corporate coffers – not far short of $137 billion in both liquid ashes and in cash.  That gives it a pot of gold that would let it buy other companies to make a splash in new or other developing markets.

A bigger problem is its existing slew of products, including the wildly successful iPad and the solidly popular iPhone.  It does face a challenge on the tablet front – particularly so from Google and Amazon devices.  Microsoft Windows 8 using Intel chips may not be so much of a challenge.  Intel cannot necessarily lower the price of its microprocessors, given its business model and Microsoft appears to believe that tablet devices running the touch version of Windows 8 should command the same prices as Apple iPads, or be even more expensive.

Apple’s share price (AAPL: Nasdaq), stood at $460.15 at press time.

Tablets set to take more PC market share

Posted on January 23, 2013 by - News

Apple iPadA market research company said that tablets are set to cannibalise more PC sales as their popularity continues to grow.

ABI Research estimates that 145 million tablets will ship this year, with 50 percent of sales outside the USA. Price, new entrants to the market and increased shipments into enterprise will help drive the growth.

Business sales will account for as much of 19 percent during 2013, and a variety of slates using Intel chips and Windows 8 will begin to make more impact this year, according to Jeff Orr, senior director at ABI.

Meanwhile Israeii company Perion said it conducted a survey of 4,400 iPad users about how they used their machines.  Ninety percent of those surveyed said they used their iPads to read and write email.

Women are more likely to read and write emails from their pads, while the favourite app is Apple Mail at 41 percent, Gmail at 31 percent and Hotmail at 13 percent. Eighteen percent of people use browsers to access webmail rather than using clients.