Gartner: “Media Tablets Poised for Strong Growth”

Gartner: “Media Tablets Poised for Strong Growth”
Apple in its earnings announcement said it shipped 4.2 million iPads during the three-month period ended September 25. While this announcement was below the target set by financial analysts, market research shops iSuppli and Garter believe strongly in the tablet market.

According to Gartner, “Media tablets are poised for strong growth with worldwide end user sales projected to total 54.8 million units in 2011, up 181 percent from 2010 [see Table], and surpass 208 million units in 2014.”

Gartner: “Media Tablets Poised for Strong Growth”
According to iSuppli the disappointment of analysts over the iPad sales is mainly due to component shortage. “The only factor limiting production is the availability of key iPad components, such as the Field Fringe Switching (FFS) LCD panels, projected capacitive touch screens and NAND flash,” said Rhoda Alexander, director of monitor research for iSuppli. “Despite ongoing yield issues, Apple's suppliers have steadily increased monthly production to meet Apple's demand. Production rates are now on target to meet the expected strong fourth-quarter sales.”

With Apple bringing on additional suppliers in 2011, iSuppli also has increased its 2011 shipment forecast to 43.7 million units, up from 36.5 million, and expanded its 2012 outlook to 63.3 million units, up from 50.4 million previously.

iSuppli believes that beyond its rising production, iPad sales also are benefitting from improvements in Apple’s retail strategy. “In addition to its traditional channels, Apple now is expanding to sell the iPad through new retailers, including Amazon, Target, Verizon and Walmart,” Alexander said. “Apple has moved more rapidly than expected to push the iPad out to new retailers, which will give it maximum retail presence during the critical holiday sales period.”

10-inch to surpass 7-inch tablets

“While we expect 7inch tablets to be popular in the short term due to the limitations of Android and because they are closer to smartphones we expect that in the long run 10inch tablets will be more successful as they offer a superior experience”, said Caroline Milanesi at Gartner.

Tuesday, October 19th 2010

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