Tablet production has been left and right this last two quarters of 2010. We have tablets from Samsung, the Samsung Galaxy Tab. We have Lenovo’s LePad. And of course, we have Apple’s iPad who started it all. The tablet industry is the next big thing this 2011. Manufacturers are not just exploring on the Android phone but making the Tablet a sellable device. In fact, consumers are excited with the release of new tablets from competing manufacturers left and right. Reviews and feedbacks have been created by those who first got a hold of them. But according to the report from J.P. Morgan, Apple will still dominate the Tablet sales next year.
Mark Moskowitz, J.P. Morgan analyst, wrote that tablet shipments will reach 46 million in 2011, totalling $24.9 billion. In 2012, this may grow to 78.2 million and revenue of $34.1 billion. They predicted that Apple will still keep that tight grip in leading sales in tablet market.
J.P. Morgan estimates Apple to have a commanding 61 percent lead of the overall tablet market through the end of 2011. 44.3 % more by the end of 2012. This year Apple got hold of a whopping 95 % from the tablet market within the third quarter, based on Strategy Analytics.The other competitors were not able to compete and did not become as popular as Apple’s iPad as fast as iPad had done.
Manufacturers like Research In Motion, Motorola, Hewlett-Packard, LG would prefer to release tablets the coming year but many organisations hope for the version 3.0 of Google called as “Honeycomb,” Android platform because of their tablet offerings.
Mosowitz wrote, “Our assumption is that Apple’s dominance will remain firmly intact in the near to mid-term, but gradually, technology improvements and component cost declines will enable the laggards to offer ‘good enough’ solutions to loosen some of Apple’s grip. Of note, we expect a host of competitive tablets in 2H 2011, following the release of Android 3.0 this coming spring. The upgraded Android operating system should gradually improve the competitiveness relative to Apple’s iOS. Our conversations with industry contacts indicate that the current version of Android does not provide a computing rich experience, which is a requisite of tablets.” RIM’s PlayBook will not be released until March and according to comments by their executives, RIM will not record PlayBook revenues until the start of its fiscal first quarter, which begins in March.
Another analyst would say that since manufacturers will hit the tablet market next year there might not be enough consumers or buyers to patronize the devices. Nick Jones said, “Our expectations for the tablet market in 2011 are positive, but to put things in context tablets will still be niche devices, maybe 15 percent of smartphone sales. So I think we’ll see more supply than demand in 2011, and probably some vicious price competition because Apple will remain the leader in style, features and shipments. Price-insensitive buyers will just drop into their local Apple store without considering Android or the other also-rans, so maybe we’ll see a pile of discounted remaindered tablets on sale in H2 of 2011.”
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