Whether you think we’re living in a post-PC world or not, there isn’t any denying the overwhelming growth of tablets prior to now few years. Just this March, IDC put out figures saying 2010 saw the sale of 18 million tablets, but despite the new boom, the outfit’s now reporting a 28 percent drop in tablet shipments in Q1 2011, bringing first quarter worldwide shipments to 7.2 million. IDC’s latest report points to “slower consumer demand, overall economic conditions, and provide-chain constraint,” but nonetheless estimates that total tablet sales will reach 53.5 million by year’s end, up from IDC’s original estimate of fifty.4 million. Another time, Apple’s pop out on top of the slate game, with the iPad 2 leading the market, despite its own dip in shipments. E-readers have apparently also seen a decline within the first quarter, with shipments dipping to a few.3 million units. Despite a slow begin to the year, however, IDC’s optimistic about future sales, but you do not have to take our word for it — full PR awaits you after the break.
Media Tablet Sales Lag Optimistic First Quarter Targets, But Forecast Remains Strong, In accordance with IDC
08 Jul 2011
FRAMINGHAM, Mass., July 8, 2011 – Worldwide media tablet shipments into sales channels fell by 28% on a sequential basis within the first calendar quarter of 2011 (1Q11) to 7.2 million units worldwide, in keeping with the International Data Corporation (IDC) Worldwide Quarterly Media Tablet and eReader Tracker. Looking forward, however, IDC raised its shipment forecast for 2011 to 53.5 million units from a prior projection of fifty.4 million units.
For 1Q11, the seasonal trends typically present in more mature consumer electronics and computing categories had a notable impact at the burgeoning media tablet market, suggesting that demand for the class will not be quite as strong as recent media hype suggests. The eReader market (which IDC counts separately) experienced similar seasonality, undergoing a sequential decline in shipments to three.3 million units because the post-holiday season proved to be challenging for that category. However, eReaders enjoyed 105% year-over-year growth because the devices keep growing in overall popularity, particularly with the introduction of color devices, similar to Barnes & Noble’s Color Nook. (Note: Media tablets were shipping not up to an entire year and year over year growth comparisons aren’t yet available.)
Apple’s iPad and the recently introduced iPad 2 continue to dominate the media tablet market, as other vendors have had a harder time finding market acceptance for his or her products. But even Apple’s shipments for the quarter were well below expectations. Some supply-chain hiccups on screens in addition to the pre-release announcement of the iPad 2 several weeks before its actual availability combined to have a noticeable impact at the company’s shipments for the quarter.
Cellular telephone vendors, consisting of Samsung and Motorola, who’ve focused their distribution in the course of the telco carriers, found moderate success with their media tablets, but sales were largely stymied by many consumers’ unwillingness to join the 3G/4G data plans that the carriers typically require such as these devices. As an operating system, Android-based devices grew to 34% of the complete, a share increase of 8.2 points over the former quarter.
For eBooks, Barnes & Noble’s Color Nook helped the corporate to take the lead within the eReader marketplace for the primary time. Amazon’s Kindle was second, however the loss of a colour offering has clearly impacted the company’s previous dominance inside the eReader market. IDC forecasts the global eReader market to ship 16.2 million units in 2011, a 24% increase over 2010.
“Just like the PC market, Media Tablets had a bit a challenging quarter in Q1, as concerns about general macroeconomic issues and the post-holiday letdown took a toll on demand,” said Bob O’Donnell, IDC Vice chairman, Clients and Displays. “We think the remainder of the year to be much stronger, but we believe vendors who continue to spotlight the telco channel for distribution will face serious challenges.”
“Although media tablet sales weren’t as high as expected in 1Q11 as a result of slower consumer demand, overall economic conditions, and provide-chain constraints, we believe with the doorway of competitive new devices in second 1/2 2011, the market will sell with reference to 53 million units for the year and keep growing long-term,” said Jennifer Song, IDC Research Analyst.
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