Release of 'iPad mini' from Apple viewed as 'question of when, not if'

Posted:
in iPad edited January 2014


A new iPad model with a smaller form factor is an inevitability, in the eyes of one analyst, though Apple is not expected to imminently release such a device.



Shaw Wu with Sterne Agee has heard since 2009 that Apple was experimenting with screen sizes ranging from as small as 4 inches to as large as 12 inches. The latest rumors have suggested that Apple has placed more serious thought into releasing an iPad with a 7.85-inch display.



In a note to investors on Tuesday, Wu said that a so-called "iPad mini" is a "question of when, not if" from Apple. He believes it would make strategic sense for Apple to expand the iPad family to boost sales and ward off the competition.



Wu believes that a smaller iPad would be "the competition's worst nightmare," as most companies already struggled to compete with the iPad when its starting price was $499. Now, Apple continues to sell the 16-gigabyte Wi-Fi-only iPad 2 for $399.



So far, only Amazon has gained any traction, as Wu said the Kindle Fire has found "modest success" at the $199 price point. But Amazon is also believed to be selling the Kindle Fire at a loss as a way to increase the online retailers sales of other goods.



Later this year, Google is expected to offer its own 7-inch tablet priced at under $250. The device is seen as an effort to counter the Kindle Fire, which runs its own heavily modified version of the Google Android operating system, tailored to sell content direct from Amazon.com rather than Google Play.











As for Apple's rumored 7.85-inch iPad, reports have suggested the device will sport a screen resolution of 1,024 by 768 pixels, which is the same as the first-generation iPad and iPad 2. That would allow existing iPad applications to run on the new device without the need for developers to modify them to accommodate a new screen resolution.



Wu believes that if Apple were to release a new, smaller iPad, it would become the new entry-level model and undercut the $399 price of the iPad 2. Such a move would expand Apple's total addressable market and help to round out the product family, he believes.



"We do not sense that the release of an iPad mini is imminent and quite frankly, exact timing is difficult to predict," he said. "However, we do believe it makes both fundamental and strategic sense for AAPL to address at some point."



[ View article on AppleInsider ]

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Comments

  • Reply 1 of 89
    tallest skiltallest skil Posts: 43,399member
    Quote:

    Release of 'iPhone nano' from Apple viewed as 'question of when, not if'



    Blah de fricking blah. Heard it before.
  • Reply 2 of 89
    wurm5150wurm5150 Posts: 763member
    YES!!! I'm really hoping they do.
  • Reply 3 of 89
    sennensennen Posts: 1,466member
    Shaw Wu, for goodness sake.
  • Reply 4 of 89
    rogifanrogifan Posts: 10,669member
    And Wu knows this how? Heck anyone could come out and say Apple is going to do X (e.g. release a TV set), it's a matter of when, not if. Big deal. Just like all those 'analysts' who said Apple was going to $1000 and then the stock sells off almost 10%.
  • Reply 5 of 89
    mac_dogmac_dog Posts: 700member
    analyst=pissing in the wind
  • Reply 6 of 89
    tailpipetailpipe Posts: 345member
    Whether this particular rumour is true or false, it would make sense for Apple to release such a device. As well as a 7.85" screen I'd love to see an iPad with a 5.5" screen.



    Why not? Sure, it would be a defensive move that would protect market share, but since iPod touch has all but replaced the Classic IPod, adding iPad screen sizes would give Apple extra SKUs across different price points.



    Perhaps the best reason for this is that gives customers greater choice. A larger iPod touch or smaller iPad that could fit into a jacket pocket would be great.



    For a 7.85" device, the major applications would be email, reading books, music, and movies on the move.



    Retina screen resolutions are essential for success.
  • Reply 7 of 89
    jragostajragosta Posts: 10,473member
    Quote:
    Originally Posted by Tailpipe View Post


    Whether this particular rumour is true or false, it would make sense for Apple to release such a device. As well as a 7.85" screen I'd love to see an iPad with a 5.5" screen.



    Why not? Sure, it would be a defensive move that would protect market share, but since iPod touch has all but replaced the Classic IPod, adding iPad screen sizes would give Apple extra SKUs across different price points.



    Perhaps the best reason for this is that gives customers greater choice. A larger iPod touch or smaller iPad that could fit into a jacket pocket would be great.



    For a 7.85" device, the major applications would be email, reading books, music, and movies on the move.



    Retina screen resolutions are essential for success.



    I'm also becoming more comfortable with the idea. Apple doesn't have any real competition at the 10" size, but lots of people are using 7" tablets to enter the market - and they will eventually create some competition for Apple. By releasing a 7" iPad, Apple has a low end product to offer and has a better chance of retaining its dominant market share.



    However, I don't think it's going to be as cheap as people are assuming. I just don't see a $249 iPad-mini. Apple's costs don't go down by anywhere near the 50% reduction in area.
  • Reply 8 of 89
    lightknightlightknight Posts: 2,312member
    Quote:
    Originally Posted by Tailpipe View Post


    Perhaps the best reason for this is that gives customers greater choice.



    http://www.nytimes.com/2010/02/27/yo...shortcuts.html



    Besides, Apple always thrived on restricting choice and polishing the experience.
  • Reply 9 of 89
    relicrelic Posts: 4,735member
    Quote:
    Originally Posted by Tailpipe View Post


    Whether this particular rumour is true or false, it would make sense for Apple to release such a device. As well as a 7.85" screen I'd love to see an iPad with a 5.5" screen.



    Why not? Sure, it would be a defensive move that would protect market share, but since iPod touch has all but replaced the Classic IPod, adding iPad screen sizes would give Apple extra SKUs across different price points.



    Perhaps the best reason for this is that gives customers greater choice. A larger iPod touch or smaller iPad that could fit into a jacket pocket would be great.



    For a 7.85" device, the major applications would be email, reading books, music, and movies on the move.



    Retina screen resolutions are essential for success.



    Until there are programs that absolutely need the extra resolution like medical it is just a waste of processing power and battery. 1024 x 768 would be a perfect resolution for such a small device, I would rather have 1280 x 800 but Apple hasn't used that rez yet for their iOS devices.
  • Reply 10 of 89
    jragostajragosta Posts: 10,473member
    Quote:
    Originally Posted by lightknight View Post


    http://www.nytimes.com/2010/02/27/yo...shortcuts.html



    Besides, Apple always thrived on restricting choice and polishing the experience.



    That's true.



    However, consider that the iPad is the launch of the post-PC era. Apple offers 2 sizes of MacBook Airs and 3 sizes of MacBook Pros. They realize that one size does not fit all. Considering that they sell a lot more iPads than laptops, creating additional sizes would not be a problem.



    They would not want them to be very different, but there's no reason why a 7" iPad couldn't comfortably co-exist with a 10" one.
  • Reply 11 of 89
    sandyfsandyf Posts: 42member
    Quote:
    Originally Posted by AppleInsider View Post


    A new iPad model with a smaller form factor is an inevitability, in the eyes of one analyst, though Apple is not expected to imminently release such a device.



    Shaw Wu with Sterne Agee has heard since 2009 that Apple was experimenting with screen sizes ranging from as small as 4 inches to as large as 12 inches. The latest rumors have suggested that Apple has placed more serious thought into releasing an iPad with a 7.85-inch display.



    In a note to investors on Tuesday, Wu said that a so-called "iPad mini" is a "question of when, not if" from Apple. He believes it would make strategic sense for Apple to expand the iPad family to boost sales and ward off the competition.



    Wu believes that a smaller iPad would be "the competition's worst nightmare," as most companies already struggled to compete with the iPad when its starting price was $499. Now, Apple continues to sell the 16-gigabyte Wi-Fi-only iPad 2 for $399.



    So far, only Amazon has gained any traction, as Wu said the Kindle Fire has found "modest success" at the $199 price point. But Amazon is also believed to be selling the Kindle Fire at a loss as a way to increase the online retailers sales of other goods.



    Later this year, Google is expected to offer its own 7-inch tablet priced at under $250. The device is seen as an effort to counter the Kindle Fire, which runs its own heavily modified version of the Google Android operating system, tailored to sell content direct from Amazon.com rather than Google Play.









    As for Apple's rumored 7.85-inch iPad, reports have suggested the device will sport a screen resolution of 1,024 by 768 pixels, which is the same as the first-generation iPad and iPad 2. That would allow existing iPad applications to run on the new device without the need for developers to modify them to accommodate a new screen resolution.



    Wu believes that if Apple were to release a new, smaller iPad, it would become the new entry-level model and undercut the $399 price of the iPad 2. Such a move would expand Apple's total addressable market and help to round out the product family, he believes.



    "We do not sense that the release of an iPad mini is imminent and quite frankly, exact timing is difficult to predict," he said. "However, we do believe it makes both fundamental and strategic sense for AAPL to address at some point."



    [ View article on AppleInsider ]



    To help differentiate it from the iPad, simply grow the iPod into a Maxi. It's a subtle but very effective way to segment the market and have your cake too. Actually, surprised Apple hasn't already done it.
  • Reply 12 of 89
    nagrommenagromme Posts: 2,834member
    Me taking seriously a guy who has been making the same obvious guess for 3 years is a matter of ?if? not ?when.?



    It?s obvious that Apple has internally ?considered? or ?prototyped? all kinds of things, including different device sizes, because we know that kind of thing from Apple?s R&D history. I take Gruber seriously that the mini iPad is currently one of those things being considered. But I think release is far from certain at present. It will make sense some day for sure, and this year seems more and more likely?I?d give it a 67% chance?but it?s all educated guesswork and speculation. Which is fun, but Wu adds little to it except getting his company?s name promoted.
  • Reply 13 of 89
    "Commenting on avalanche of tablets heading to market. Just a handful of credible entrants. Almost all use 7" screen, compared to iPad at nearly 10" screen. 7" screen is only 45% as large as iPad's screen. Hold an iPad in portrait view and draw a horizontal line halfway down. What's left is a 7" screen...too small. There are clear limits to how close elements can be on the screen before users can't touch accurately. We believe 10-inch screen is minimum necessary." -- Steve Jobs



    “One naturally thinks that a 7-inch screen would offer 70 percent of the benefits of a 10-inch screen. Unfortunately, this is far from the truth. … The reason we [won't] make a 7-inch tablet isn’t because we don’t want to hit [a lower] price point, it’s because we think the screen is too small to express the software.” -- Steve Jobs



    This analyst idea, amongst many others, is dead on arrival.
  • Reply 14 of 89
    Quote:
    Originally Posted by ExceptionHandler View Post


    "Commenting on avalanche of tablets heading to market. Just a handful of credible entrants. Almost all use 7" screen, compared to iPad at nearly 10" screen. 7" screen is only 45% as large as iPad's screen. Hold an iPad in portrait view and draw a horizontal line halfway down. What's left is a 7" screen...too small. There are clear limits to how close elements can be on the screen before users can't touch accurately. We believe 10-inch screen is minimum necessary." -- Steve Jobs



    ?One naturally thinks that a 7-inch screen would offer 70 percent of the benefits of a 10-inch screen. Unfortunately, this is far from the truth. ? The reason we [won't] make a 7-inch tablet isn?t because we don?t want to hit [a lower] price point, it?s because we think the screen is too small to express the software.? -- Steve Jobs



    This analyst idea, amongst many others, is dead on arrival.





    Yesterday, many claimed that Steve Jobs was a serial liar. They said that you cannot believe the things he said.
  • Reply 15 of 89
    j1h15233j1h15233 Posts: 274member
    I wish these "analysts" aka fortune tellers, would at least get back to the Apple TV rumors. At least that one is interesting and could possibly happen.
  • Reply 16 of 89
    gustavgustav Posts: 824member
    Quote:

    As for Apple's rumored 7.85-inch iPad, reports have suggested the device will sport a screen resolution of 1,024 by 768 pixels, which is the same as the first-generation iPad and iPad 2. That would allow existing iPad applications to run on the new device without the need for developers to modify them to accommodate a new screen resolution.



    And how big would the buttons be on this mini iPad? They have to be large enough to overcome FFS. (Fat Finger Syndrome)
  • Reply 17 of 89
    notscottnotscott Posts: 247member
    If you say "ah-nalyst" you're pronouncing it wrong.
  • Reply 18 of 89
    magic_almagic_al Posts: 325member
    Steve Jobs decided that people aren't supposed to want this!
  • Reply 19 of 89
    Quote:
    Originally Posted by I am a Zither Zather Zuzz View Post


    Yesterday, many claimed that Steve Jobs was a serial liar. They said that you cannot believe the things he said.



    Today, I claim that "I am a Zither Zather Zuzz" is a serial liar. I say that you cannot believe the things he said.



    See, I can do that too... all you are doing is using a logical fallacy (Ad hominem: http://www.nizkor.org/features/falla...d-hominem.html and or Personal Attack: http://www.nizkor.org/features/falla...al-attack.html) to try to refute my claim: Steve Jobs said anything less than 10" is a non-starter, and therefor an iPad will not make it to market that is less than 10". My argument still stands until you can provide a sound logical argument that shows apple's intent to do otherwise (rumors don't count).
  • Reply 20 of 89
    It's currently called the iPod Touch, but hey, a little rebranding and off we go.
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