Tablet Growth to See Dramatic Drop in 2012
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With the tablet PC market growing sharply over the last few years, many manufacturers are now shifting gears to accelerate development of the devices.
But according to Digitimes Friday, branded tablet growth in 2012 is expected to reach only 60 percent from 2011. While the figure sounds impressive, the number is down from expected growth of 188 percent for 2011.
Major drivers within the market will be improvement in Google (Nasdaq: GOOG) Android performance and design, as well as improving tablet PC price-to-performance metrics.
Recently, speculation surrounding weakened demand for Apple's (Nasdaq: AAPL) iPad tablet was raised, sending shares lower over the last two sessions. Less demand for the iPad -- by far the de facto measure for tablet PCs -- might mean one of several things: 1) consumers are waiting for an iPad refresh, 2) those who planned to buy a tablet already have, or 3) consumers might be shifting more toward Android-based tablets.
Amazon (Nasdaq: AMZN), and more recently Barnes & Noble (NYSE: BKS), have both introduced intriguing examples of what pure media tablets can be. The focus of the Kindle Fire and NOOK are streaming video, reading books, or listening to music. The device's price ranges (from $199 to $249 -- comparably lower against Apple's $499 entry point) make them attractive alternatives to the iPad.
Additionally, new competitors in the ultrabook market will continue to threaten tablet PC sales. Although not directly in the same market, with their portability, full keyboard, and lightweight design, ultrabooks are yet another factor OEM's might have to consider in designing and marketing their new tablets.
But according to Digitimes Friday, branded tablet growth in 2012 is expected to reach only 60 percent from 2011. While the figure sounds impressive, the number is down from expected growth of 188 percent for 2011.
Major drivers within the market will be improvement in Google (Nasdaq: GOOG) Android performance and design, as well as improving tablet PC price-to-performance metrics.
Recently, speculation surrounding weakened demand for Apple's (Nasdaq: AAPL) iPad tablet was raised, sending shares lower over the last two sessions. Less demand for the iPad -- by far the de facto measure for tablet PCs -- might mean one of several things: 1) consumers are waiting for an iPad refresh, 2) those who planned to buy a tablet already have, or 3) consumers might be shifting more toward Android-based tablets.
Amazon (Nasdaq: AMZN), and more recently Barnes & Noble (NYSE: BKS), have both introduced intriguing examples of what pure media tablets can be. The focus of the Kindle Fire and NOOK are streaming video, reading books, or listening to music. The device's price ranges (from $199 to $249 -- comparably lower against Apple's $499 entry point) make them attractive alternatives to the iPad.
Additionally, new competitors in the ultrabook market will continue to threaten tablet PC sales. Although not directly in the same market, with their portability, full keyboard, and lightweight design, ultrabooks are yet another factor OEM's might have to consider in designing and marketing their new tablets.
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