Best of the Week
Most Popular
1. Gold vs Cash in a Financial Crisis - Richard_Mills
2.Current Stock Market Rally Similarities To 1999 - Chris_Vermeulen
3.America See You On The Dark Side Of The Moon - Part2 - James_Quinn
4.Stock Market Trend Forecast Outlook for 2020 - Nadeem_Walayat
5.Who Said Stock Market Traders and Investor are Emotional Right Now? - Chris_Vermeulen
6.Gold Upswing and Lessons from Gold Tops - P_Radomski_CFA
7.Economic Tribulation is Coming, and Here is Why - Michael_Pento
8.What to Expect in Our Next Recession/Depression? - Raymond_Matison
9.The Fed Celebrates While Americans Drown in Financial Despair - John_Mauldin
10.Hi-yo Silver Away! - Richard_Mills
Last 7 days
Stock Market Potential Short-term top - 18th Feb 20
Coronavirus Fourth Turning - No One Gets Out Of Here Alive! - 18th Feb 20
The Stocks Hit Worst From the Coronavirus - 18th Feb 20
Tips on Pest Control: How to Prevent Pests and Rodents - 18th Feb 20
Buying a Custom Built Gaming PC From Overclockers.co.uk - 1. Delivery and Unboxing - 17th Feb 20
BAIDU (BIDU) Illustrates Why You Should NOT Invest in Chinese Stocks - 17th Feb 20
Financial Markets News Report: February 17, 2020 - February 21, 2020 - 17th Feb 20
NVIDIA (NVDA) GPU King For AI Mega-trend Tech Stocks Investing 2020 - 17th Feb 20
Stock Market Bubble - No One Gets Out Of Here Alive! - 17th Feb 20
British Pound GBP Trend Forecast 2020 - 16th Feb 20
SAMSUNG AI Mega-trend Tech Stocks Investing 2020 - 16th Feb 20
Ignore the Polls, the Markets Have Already Told You Who Wins in 2020 - 16th Feb 20
UK Coronavirus COVID-19 Pandemic WARNING! Sheffield, Manchester, Birmingham Outbreaks Probable - 16th Feb 20
iShares Nasdaq Biotechnology ETF IBB AI Mega-trend Tech Stocks Investing 2020 - 15th Feb 20
Gold Stocks Still Stalled - 15th Feb 20
Is The Technology Stocks Sector Setting Up For A Crash? - 15th Feb 20
UK Calm Before Corona Virus Storm - Infections Forecast into End March 2020 - 15th Feb 20
The Growing Weaponization of Space - 14th Feb 20
Will the 2020s Be Good or Bad for the Gold Market? - 14th Feb 20
Predictive Modeling Suggests Gold Price Will Break Above $1650 Within 15~30 Days - 14th Feb 20
UK Coronavirus COVID-19 Infections and Deaths Trend Forecast 2020 - 14th Feb 20
Coronavirus, Powell and Gold - 14th Feb 20
How the Corona Virus is Affecting Global Stock Markets - 14th Feb 20
British Pound GBP Trend and Elliott Wave Analysis - 13th Feb 20
Owning and Driving a Land Rover Discovery Sport in 2020 - 2 YEAR Review - 13th Feb 20
Shipping Rates Plunge, Commodities and Stocks May Follow - 13th Feb 20
Powell says Fed will aggressively use QE to fight next recession - 13th Feb 20
PALLADIUM - THIS Is What a Run on the Bank for Precious Metals Looks Like… - 13th Feb 20
Bitcoin: "Is it too late to get in?" Get Answers Now - 13th Feb 20
China Coronavirus Infections Soar by 1/3rd to 60,000, Deaths Jump to 1,367 - 13th Feb 20
Crude Oil Price Action – Like a Coiled Spring Already? - 13th Feb 20
China Under Reporting Coronavirus COVID-19 Infections, Africa and South America Hidden Outbreaks - 12th Feb 20
Will USD X Decline About to Trigger Precious Metals Rally - 12th Feb 20
Copper Market is a Coiled Spring - 12th Feb 20
Dow Theory Stock Market Warning from the Utilities Index - 12th Feb 20
How to Get Virgin Media Engineers to FIX Hub 3.0 Problems and NOT BS Customers - 12th Feb 20
China Under Reporting Coronavirus COVID-19 Infections by 66% Due to Capacity Constraints - 12th Feb 20
Is Coronavirus the Black Swan That Takes Gold To-Da-Moon? - 12th Feb 20
Stock Market 2020 – A Close Look At What To Expect - 12th Feb 20
IBM AI Mega-trend Tech Stocks Investing 2020 - 11th Feb 20
The US Dollar’s Subtle Message for Gold - 11th Feb 20
What All To Do Before Opening A Bank Account For Your Business - 11th Feb 20
How and When to Enter Day Trades & Swing Trade For Maximum Gains - 11th Feb 20
The Great Stock Market Dichotomy - 11th Feb 20
Stock Market Sector Rotation Should Peak Within 60+ Days – Part II - 11th Feb 20
CoronaVirus Pandemic Stocks Bear Market Risk 2020? - Video - 11th Feb 20

Market Oracle FREE Newsletter

Nadeem Walayat Financial Markets Analysiis and Trend Forecasts

Apple’s iPad Continues to Lead Its Rivals

Companies / Tech Stocks Oct 25, 2010 - 08:27 AM GMT

By: Investment_U

Companies

Best Financial Markets Analysis ArticleTony Daltorio writes: Apple (Nasdaq: AAPL) reported sales of only 4.2 million units in its most recent quarter. That disappointed some investors, who then took it out on the stock.

But they forgot that iPad sales still look decent for an item only unveiled in January and introduced in April.


Analysts still see Apple selling 13 to 16 million iPads this year. And keep in mind that the company’s highly successful iPhone sold less than 6 million units in its first full year.

Apple marketed the iPad as a consumer entertainment device. Yet the product’s success has largely come from companies and corporate users.

iPad Connects With Corporations

Apple doesn’t break out corporate sales from its overall sales numbers. But a global survey of 118 chief technology officers conducted by CLSA in August showed that 12% of companies had already deployed iPads or tablets, and 36% were thinking about it.

To managing director Stephen Fox, that “suggests that the iPad is garnering a higher degree of interest from enterprises than we should have expected.”

That’s because Steve Jobs put a lot of effort into making it business friendly. It supports virtual private networks, remote deletion of data in the event of theft or loss, and over-the-air syncing to enforce company-wide distribution of new software policies.

That has led some restaurants to replace paper menus with interactive iPads. And Mercedes Benz wants its U.S. dealerships to have iPads handy for customers to fill out loan forms in the showroom… thus increasing chances of completed sales.

Apple’s Big Lead Over Competitors

Despite pesky speculation about upcoming rivals, the iPad has little competition. Samsung’s Galaxy Tab, a seven-inch tablet set to sell in November, is its only real contender.

Hewlett-Packard (NYSE: HPQ) has nothing until next year. And Research in Motion (Nasdaq: RIMM) won’t introduce its seven-inch BlackBerry PlayBook until early 2011.

Even then, Apple could keep its hold on the market through upgrades. Expected add-ons next year include front and back cameras for video conferencing.

Doug Reid at investment bank Stifel Nikolaus expects the iPad to have an 82% market share of the 19.2 million tablets he forecasts shipping this year.

He points to the end of shipment delays and a “window of de-facto market exclusivity.” And he also thinks it likely that rivals will try – unsuccessfully – to integrate their hardware with relatively unproven operating systems like Android.

After all, Google‘s (Nasdaq: GOOG) Android operating system was originally made for smartphones. So tablets using it don’t automatically display content at high resolutions.

Notably, Samsung has managed to work around that for its Galaxy tablet. But LG chose to wait instead until Android releases a more tablet-friendly version next year.

As for using Microsoft (Nasdaq: MSFT) Windows 7? Since it remains problematic without a mouse and keyboard, many prospective tablet makers are ignoring it altogether.

iPad’s Future vs. PC’s Demise…

iPad sales figures from Apple’s latest earnings report do point out one thing though…

In spite of the fuss surrounding it, the entirely new tablet PC market is far from settled. Microsoft and Intel (NASDAQ: INTC), which rely heavily on PCs, have maintained that the devices will help grow that larger market into a bigger pie.

ARM Holdings ADR (Nasdaq: ARMH) CEO Warren East thinks differently though. His firm’s chip designs are the blueprint for the iPad’s processor. And he sees the end of the PC within the next five years, ushering in “a new era of computing based on smartphones and tablets.”

With that said, the PC looks safe… for now. Christian Heidarson, principal analyst at technology research and advisory firm Gartner, forecasts tablet competition shrinking that market by just 8% this year.

But “from 2013 onwards, the impact will be significantly more pronounced… we will see tablets with the same capabilities as netbooks retailing for $300 instead of $600.”

If he’s right, Apple shareholders can celebrate something more than just the iPhone. Because if the iPad counts as a PC, Apple has gone from fourth to first place in U.S. computer sales in just six months.

The only question left is whether Apple’s stock price already reflects all that good news. And based on the sell-off after its “disappointing” iPad sales, I’d say the answer is no.

Good investing,

Source: http://www.investmentu.com/2010/October/apple-ipad-continues-to-lead-rivals.html

Tony Daltorio

http://www.investmentu.com

Copyright © 1999 - 2008 by The Oxford Club, L.L.C All Rights Reserved. Protected by copyright laws of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), of content from this website, in whole or in part, is strictly prohibited without the express written permission of Investment U, Attn: Member Services , 105 West Monument Street, Baltimore, MD 21201 Email: CustomerService@InvestmentU.com

Disclaimer: Investment U Disclaimer: Nothing published by Investment U should be considered personalized investment advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. We expressly forbid our writers from having a financial interest in any security recommended to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of printed-only publication prior to following an initial recommendation. Any investments recommended by Investment U should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company.

Investment U Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules