Posted on 05/12/2014 12:58:10 PM PDT by SeekAndFind
As recently as a couple of quarters ago, analysts were convinced that tablet growth rates would be stratospheric forever, or at least until a few billion people had one.
Apple, it was said, was no longer going to be "the iPhone company." It was going to be "the iPad company." And analysts were frantically calculating how much money Apple was going to coin once it was selling more iPads than iPhones.
Well, those forecasts aren't looking so promising anymore.
Tablet growth has slowed sharply over the past few quarters. And tablet growth at Apple has hit a wall.
BII
Business Insider
Analysts have several theories for why growth in this recently ballistic market has suddenly tanked. They cite "increased penetration rates," "high price points," and "lack of innovation," for example.
And all those factors are indeed likely contributing.
But here's what I think is the real reason tablet growth has cratered:
Tablets do not yet solve a pressing need that is not already solved by a laptop or smartphone.
Put differently, there's no clear reason yet to own two or three expensive personal-computing devices. You can accomplish just about everything by owning one or two. Some people can get by with only a smartphone, especially now that smartphone screens are much larger than they used to be. (And if people have to own only one device, that's what they're going to own—a smartphone.) Others need two devices. For some people, the best two-gadget combination will be a smartphone and tablet. For others, a smartphone and laptop or desktop.
(Excerpt) Read more at businessinsider.com ...
If I might ask - where did you find one with win 7? I thought most force you to get win 8 now.
Because the specs don’t grow very fast, so there’s not much compelling reason to replace your old one until it actually breaks.
Speaking of The Obama Economy is not allowed.
Yep...
“Right on, guys. Discretionary spending is dropping, forcing all kinds of retailers to close stores or go out of business entirely. Who needs an iPad when you can barely make rent or fill your gas tank?”
Bingo! You have nailed a very large % of the reason tablet sales are dropping off.
My wife and I for years have enjoyed asking people how much their smart phones cost and cost per month and in the past couple of years did the same with the tablets.
Few if any when asked these questions, either know the answers or were willing to tell us.
Families of 4 where the main breadwinner hasn’t had a decent raise in years often have a smart phone for everyone in the family and at least one tablet if not more. They often complain bitterly about the price of groceries, utilities, rent, gasoline and etc, and somehow they justify the very high monthly costs and initial outlays.
The second reason is business wise. The corporate CFO’s may be saying no to tablets. Two young relatives have had that happen. Both are key execs involved daily in critical decisions with two different companies.
Last year, one got the latest I phone and I Pad from his company with everything service wise paid for. At first he used both. Then, he found that he needed his I Pad less and less in the field and hardly ever in the office versus his office PC. His daily use of the I Phone has grown basically every month. He and his peers have the same approach, which is, “If what you want to communicate with me is not one where we need legal documentation, text me via my I phone and expect a quick and simple/short answer. If your need to communicate an issue that is lengthy and could be legal, send me an email and don’t text me. His business use of his new I Pad has dropped to all most nothing. His use of his IPhone increase each week, and it has made his job much easier time wise and response wise.
Last week, he was told that his company will discontinue the service on the I Pad, this 1 July, the start of their new fiscal year. He can give his I Pad to his kids or keep it at home for fun and games.
The other brother had an old android phone and service paid for by his company. At the first of last year, he was given an I Pad by his company last year with a full Verizon service and told to use it for business and personal use.
At the first of this year he got a new I phone with a full service with no limits contract paid by his company. It was stressed that he use the I Phone where possible versus the tablet. This first of this month he was told when his I Pad service runs out at the end of this calendar year, his company will not renew the service. He can keep the I Pad, but he will have to pay for the service on his own. The monthly contract + overage cost for his IPad are well over $100 per month. He will use his Comcast WiFi with his pad at home, and his new I phone with the service paid for by his company will become his main digital communication tool. His I Phone takes great pictures, and it is easy to transfer them to his I Pad.
Many tablets have the hardware for phone use but it is disabled in the US.Galaxy tab COULD be my portable computer with Bluetooth headset except for that.If I tether my smartphone to tablet for bigger screen they want additional fee.
The Surface 2 Pro is a great alternative. Too bad it is so expensive that it precludes consideration. Keyboard cover sold separately. Office sold separately. Enough memory to make it viable sold separately.
When the smoke clears, it is $1300 plus for a Surface 2 Pro. Microsoft could teach classes in how not to market products. I was in GameStop this Sunday, and they were paying guys to help sell their Xbox One with their new Kinect.
So, a guy with an actual MSFT employee badge was in a mall in Western Wa selling Xbox Ones. That’s all he did all day. Nobody there from Nintendo or Sony.
Hey, you could lower the price and not spend any money on the thousands of employees you deployed to push your overpriced hardware.
Last time I checked the PS4 was cleaning both company’s clocks pretty handily.
Very funny.
A tablet is a great device for media purposes. It works well as a book, magazine, a tv to keep on your desk while working, a game machine, etc.
These functions it does very well. I would say, because I can hold a tablet in my hand far more comfortably than most laptops, it’s more suited for these purposes than any laptop.
Sony actually has such a device. It’s like an electronic piece of paper.
Seriously, I think tablets are here to stay. The reason for the sales slowdown is likely because people who are likely to buy one already own one. And these things are proving to be pretty durable so it's not like we are going to go out and replace it every two years like we do with smartphones. I figure I can get 7-10 years of service out of the one I have. For me to upgrade sooner, my current one will have to get stolen or broken.
I use my Samsung Galaxy Note 8” tablet as a tv remote. I view video or photos then press a button and it is on the big screen tv (has wifi connection).
I could not easily write anything on the tablet office apps> I need a keyboard. Might as well use my laptop or better yet my desktop pc with a 27” screen.
I have two nook HD 9+’s and they are great.
32 gig on board, can install another 64 gig on an sd card.
For $25 you can get a leather case with blue tooth keyboard build in.
I think they have their place. There is a market for them.
haha! i have a Nook... i especially like it for travel... easy to use on an airplane...
Trying to separate my wife from her IPad is like taking a binkie from a baby. Can’t be done. This is for a woman who wouldn’t even look at a PC. The ease and utility of a tablet for basic multimedia functionality can’t be surpassed. There’s a permanent market to sure certain, however demand during a depressionary economy, not so much.
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