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15 December 2011

Tablet Sales Fail to Meet Expectations


Looks like tablet makers and analysts may have been a little bit too hopeful in regards to the tablet market, if sales figures compiled by IDC are any indication.

For the third quarter of 2011, it was believed that sales of slates would be of 19.2 million.

Now, though, IDC found that the mark was missed by a percentage of 5.8, as the figure turned out to be 18.1 million.

This is enough to show that slates, though a new and fresh market, aren't quite the force some think they are.

Then again, tablet shipments still went up by 23.9% sequentially and 264.5% on-year.

Even if this only reflects the fact that there were hardly any tablets on sale last Christmas to speak of, it still is a great progress.

Speaking of progress, it is IDC's belief that the October-December period is showing stronger demand, enough that 2011 total shipments may just reach 63.3 million.

Barnes & Noble's Nook tablet is cutting a swath through the segment, as is the Amazon Kindle Fire.

“Amazon and Barnes & Noble are shaking up the media tablet market, and their success helps prove that there is an appetite for media tablets beyond Apple's iPad,” said Tom Mainelli, research director, Mobile Connected Devices.

“Amazon's introduction of the $79 entry-level Kindle and $99 touch-based Kindle (both with ads) led to a round of price cuts from competitors. That drops these products well into the range of impulse and gift buys for many, and we expect a very strong 4Q11 as a result.”

As suggested, e-readers are also doing quite well, as is Apple with its iPads (11.1 million shipments in Q3, compared to 9.3 million in Q2).

“Apple's larger portfolio of tablet-specific apps, upcoming iPad versions, and growing physical store presence in key emerging markets like Asia/Pacific will help maintain its global leadership.

“However, an improving Android OS experience and lower competitor pricing in an environment with worldwide economic concerns should help Android to increase its market share,” said Jennifer Song, research analyst, Worldwide Trackers.

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