iPad growth accelerates to 156%, tablet sales to 'measurably' exceed PCs

Posted:
in iPad edited January 2014


The launch of the new iPad shows sales of Apple's tablet are ramping at an accelerated rate of 156 percent year over year, putting them in a position to become "measurably larger" than the PC market as a whole.



Analyst Gene Munster with Piper Jaffray believes most expected Apple to sell between 1 million and 2 million of its new iPad over the launch weekend. But Apple easily exceeded those projections on Monday, when the company announced that it had sold 3 million of the new iPad in its first three days.



The sales suggest that Apple will sell 12 million iPads in the current March quarter, with year-over-year growth accelerating to 156 percent. In comparison, the iPad saw 111 percent year-over-year growth in the December 2011 quarter.



Munster sees Apple retaining a majority share of the tablet market through at least the next three years. He has called for Apple to sell 66 million iPads in calendar year 2012, growing to 176 million in calendar 2015, as the tablet market marches toward eclipsing PC sales.



"We believe the unprecedented ramp of the iPad over the past year is evidence that the tablet market will be measurably larger than the PC market," Munster wrote in a note to investors.



Separately, analyst Mark Moskowitz with J.P. Morgan called the new iPad launch "staggering," and in position to see "break-out growth" following the record breaking weekend.











Looking forward, he expects sales to grow as the iPad finds more adoption in the enterprise. Specifically, he anticipates that Microsoft will release a version of its Office suite for the iPad, driving corporate adoption.



"Currently, the enterprise vertical represents less than 10% of tablet units, but once Office is available on the iPad, we think that enterprises will regard the tablet as a productivity device," Moskowitz said.



Finally, Shaw Wu with Sterne Agee increased his price target for AAPL stock to $740, from $620, following the release of sales figures for the new iPad launch. In addition to strong iPad sales, he said his supply chain and industry checks have indicated that the iPhone is also seeing strong sales.



"We are picking up stronger than expected momentum despite a record setting December quarter where 37 million iPhones were shipped," Wu said. "We believe March quarter shipments will likely be less seasonal than expected, helped by 21 countries added to carry the iPhone 4S and the addition of China Telecom as a carrier partner."



[ View article on AppleInsider ]

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Comments

  • Reply 1 of 72
    umrk_labumrk_lab Posts: 550member
    "Post PC era". Thank you, Steve ...
  • Reply 2 of 72
    quadra 610quadra 610 Posts: 6,743member
    Quote:
    Originally Posted by umrk_lab View Post


    "Post PC era". Thank you, Steve ...



    This.



    Compare the tech landscape of 5 years ago to today. HUGE difference.
  • Reply 3 of 72
    Quote:
    Originally Posted by Quadra 610 View Post


    This.



    Compare the tech landscape of 5 years ago to today. HUGE difference.



    Yes, there's certainly been a shift. However my iPad can still only handle about 40% of my day job. So I can't call it a PC replace-r by an stretch.
  • Reply 4 of 72
    Quote:
    Originally Posted by thataveragejoe View Post


    Yes, there's certainly been a shift. However my iPad can still only handle about 40% of my day job. So I can't call it a PC replace-r by an stretch.



    Maybe I missed something but did he call it a "PC replacement era"?
  • Reply 5 of 72
    MacProMacPro Posts: 18,155member
    Quote:
    Originally Posted by Quadra 610 View Post


    This.



    Compare the tech landscape of 5 years ago to today. HUGE difference.



    So true, it is like another world now.



    I switch between my MBP and iPad 2 all the time depending on what I'm doing and where I am. I have to confess when on my MBP I find myself more and more, just for a second, starting to go for apps ... like my iPad's Itellicast app for weather for example and having to stop and think for a split second (in a tiny moment of confusion) and then remember on the Mac I use Safari to go to a web site ...



    The app paradigm for so many things is so much more convenient!
  • Reply 6 of 72
    Quote:
    Originally Posted by Jonteponte View Post


    Maybe I missed something but did he call it a "PC replacement era"?



    Well the article is about surpassing PC sales in this whole so called 'post PC' era, which I never understood anyway, but I digress.
  • Reply 7 of 72
    rabbit_coachrabbit_coach Posts: 1,114member
    Quote:
    Originally Posted by thataveragejoe View Post


    Yes, there's certainly been a shift. However my iPad can still only handle about 40% of my day job. So I can't call it a PC replace-r by an stretch.



    The post PC-Aera has just begun. be patient. The first PC's didn't i.e. video editing all to well. Look what they can do now. I can see many tasks in the Pro- segment of applications, where the iPad will be a lot more versatile and some applications will just have to be redesigned for multitouch use. It's actually a extremely lucky situation, that Apple is leading this Aera without any trace of competition. Like that they can set UI standards, which are as user friendly as everything Apple does.



    But ultimately I am unsure, wether it's healthy to be completely unaffected by competition for to long. But then again if they keep on innovating at a this pace which is completely unprecedented. I probably don't have to worry. Nevertheless, like in biology diversity is healthy, I always assume the same thing is true for technology.



    ?? does this make sense ?? \
  • Reply 8 of 72
    MacProMacPro Posts: 18,155member
    Quote:
    Originally Posted by Rabbit_Coach View Post


    The post PC-Aera has just begun. be patient. The first PC's didn't i.e. video editing all to well. Look what they can do now. I can see many tasks in the Pro- segment of applications, where the iPad will be a lot more versatile and some applications will just have to be redesigned for multitouch use. It's actually a extremely lucky situation, that Apple is leading this Aera without any trace of competition. Like that they can set UI standards, which are as user friendly as everything Apple does.



    But ultimately I am unsure, wether it's healthy to be completely unaffected by competition for to long. But then again if they keep on innovating at a this pace which is completely unprecedented. I probably don't have to worry. Nevertheless, like in biology diversity is healthy, I always assume the something is true for technology.



    ?? does this make sense ?? \



    I agree on the iPad versatility ... I totally believe will will see much larger versions of iPads, i.e. desk pads ... in the future. You only have to use Garage Band on the iPad to see the possibilities and even FCP X on the iPad is fun to some extent albeit needing the afore mentioned larger pad.



    On your latter point, Darwinism comes to mind. PCs' necks are too short
  • Reply 9 of 72
    rabbit_coachrabbit_coach Posts: 1,114member
    Quote:
    Originally Posted by digitalclips View Post


    So true, it is like another world now.



    I switch between my MBP and iPad 2 all the time depending on what I'm doing and where I am. I have to confess when on my MBP I find myself more and more, just for a second, starting to go for apps ... like my iPad's Itellicast app for weather for example and having to stop and think for a split second (in a tiny moment of confusion) and then remember on the Mac I use Safari to go to a web site ...



    The app paradigm for so many things is so much more convenient!







    This is so true!!



    Happens to me all the time.

    Some Apps are so much more convenient to use on the iPad than their counterpart websites, ore OSX Applications. All this gets very blurred. If the MBP/ MP is off, the decision is usually always in preference of the iPad, but if it is on, the hesitation struggle begins.
  • Reply 10 of 72
    rabbit_coachrabbit_coach Posts: 1,114member
    Quote:
    Originally Posted by digitalclips View Post


    On your latter point, Darwinism comes to mind. PCs' necks are too short



    Yeah, they can't reach the juicy leaves at the top.



  • Reply 11 of 72
    zbarskyzbarsky Posts: 19member
    iPad frees people from the desktop, or straining at some crappy notebook, making life more comfortable. Traditional computing devices are going to take a big hit. The majority of people don't require the computing power of the traditional PC.
  • Reply 12 of 72
    Quote:
    Originally Posted by digitalclips View Post


    So true, it is like another world now.



    I switch between my MBP and iPad 2 all the time depending on what I'm doing and where I am. I have to confess when on my MBP I find myself more and more, just for a second, starting to go for apps ... like my iPad's Itellicast app for weather for example and having to stop and think for a split second (in a tiny moment of confusion) and then remember on the Mac I use Safari to go to a web site ...



    The app paradigm for so many things is so much more convenient!



    So true!



    Remember how they said Apps were just a fad? Some still say it.



    Some fad!



    >550,000 iPhone Apps, > 200,000 iPad Apps, >25 billion downloads>
  • Reply 13 of 72
    gprovidagprovida Posts: 247member
    I cannot imagine a better reason for METRO on ARM being successful in the Enterprise, than a version of Office from Microsoft. METRO or Windows 8 on INTEL comes with enormous handicaps with regard to power, battery, size, etc. even if it has Windows legacy. Sort of warmed over tablets.



    Therefore MS best way to make Windows Tablets gets big bounce is ARM and Office for Enterprise and like Windows get taken home for consumers.



    MS might see iPad 2012 and 2011 versions as mature platforms that it can quickly develop a great Office product upon and achieve Windows Office Everywhere, but this is in tension with its own ARM offering.



    There will be Office for iPad, but it is not unreasonable that like Mac it will be a second class version and come 6 months to a year later than Windows Office for METRO.



    Tough choices for Redmond to sort through and of course the product maturity Windows 8, Hardware ARM and INTEL, and Touch Office will also affect the decisions.
  • Reply 14 of 72
    lkrupplkrupp Posts: 6,819member
    Quote:
    Originally Posted by umrk_lab View Post


    "Post PC era". Thank you, Steve ...





    I recall Steve saying the iPad was his (and Apple's) best work yet. He was right. The iPad is perfect for a large percentage of common users. You don't need a PC to watch/listen to media, read/send/text/message, play games. My daughter received an iPad 2 for Valentine's Day from her husband. She hardly even touches the desktop iMac now. Our son-in-law's employer has deployed iPads to people who interface with the clients, eliminating the binders he had to lug around. And runnning the Citrix client he can login to the corporate servers.



    Apple ahs always been willing to cannibalize their own products to move forward. Dell, HP, and other PC makers doggedly stick to "what works"... until it's too late. The iPad market has caught them with their pants down around their ankles and they (as well as Microsoft) have been unable to respond so far.



    But I'm preaching to the choir aren't I.
  • Reply 15 of 72
    MacProMacPro Posts: 18,155member
    Quote:
    Originally Posted by gprovida View Post


    I cannot imagine a better reason for METRO on ARM being successful in the Enterprise, than a version of Office from Microsoft. METRO or Windows 8 on INTEL comes with enormous handicaps with regard to power, battery, size, etc. even if it has Windows legacy. Sort of warmed over tablets.



    Therefore MS best way to make Windows Tablets gets big bounce is ARM and Office for Enterprise and like Windows get taken home for consumers.



    MS might see iPad 2012 and 2011 versions as mature platforms that it can quickly develop a great Office product upon and achieve Windows Office Everywhere, but this is in tension with its own ARM offering.



    There will be Office for iPad, but it is not unreasonable that like Mac it will be a second class version and come 6 months to a year later than Windows Office for METRO.



    Tough choices for Redmond to sort through and of course the product maturity Windows 8, Hardware ARM and INTEL, and Touch Office will also affect the decisions.



    IMHO the 'Office will win for us yet again' concept for MS is flawed because the vast majority of tablet owners and future owners are simply average folks who have zero interest in Office. As to enterprise, we will have to wait and see, that maybe a niche market for MS.



    Again, only IMHO, but I think the potential lack of a tie in with iTunes for the Microsoft tablet could be far damaging than lack of Office (or a late weaker version) for iOS will ever be. I truly hope Apple do not make any tie in possible for the MS Tablet to the Apple eco system but I speak selfishly as an AAPL share holder there
  • Reply 16 of 72
    MacProMacPro Posts: 18,155member
    Quote:
    Originally Posted by Rabbit_Coach View Post


    Yeah, they can't reach the juicy leaves at the top.







    Or should that, in this case, be the Apples?
  • Reply 17 of 72
    lkrupplkrupp Posts: 6,819member
    Quote:
    Originally Posted by gprovida View Post


    I cannot imagine a better reason for METRO on ARM being successful in the Enterprise, than a version of Office from Microsoft. METRO or Windows 8 on INTEL comes with enormous handicaps with regard to power, battery, size, etc. even if it has Windows legacy. Sort of warmed over tablets.



    Therefore MS best way to make Windows Tablets gets big bounce is ARM and Office for Enterprise and like Windows get taken home for consumers.



    MS might see iPad 2012 and 2011 versions as mature platforms that it can quickly develop a great Office product upon and achieve Windows Office Everywhere, but this is in tension with its own ARM offering.



    There will be Office for iPad, but it is not unreasonable that like Mac it will be a second class version and come 6 months to a year later than Windows Office for METRO.



    Tough choices for Redmond to sort through and of course the product maturity Windows 8, Hardware ARM and INTEL, and Touch Office will also affect the decisions.



    What goes around comes around. There's an article over at c|net wondering whether Apple will produce an iTunes app for Windows 8 (PC and Mobile) and how the lack of iTunes may have a negative impact on Microsoft tablet sales. This could be a bargaining tool to get Office on the iPad.
  • Reply 18 of 72
    MacProMacPro Posts: 18,155member
    Quote:
    Originally Posted by lkrupp View Post


    What goes around comes around. There's an article over at c|net wondering whether Apple will produce an iTunes app for Windows 8 (PC and Mobile) and how the lack of iTunes may have a negative impact on Microsoft tablet sales. This could be a bargaining tool to get Office on the iPad.



    What a decision that would be for Apple ... I am inclined to vote for hold iTunes close and tell MS to take Office and ..... it. Why not work with Oracle on a better mobile Open Office. After all it was Steve who contracted Bill Gates to develop MultiPlan (aka Excel) and Word in the first place. It's not as if Office is MS's IP!
  • Reply 19 of 72
    Quote:
    Originally Posted by digitalclips View Post


    Why not work with Oracle on a better mobile Open Office.



    Comparing Open Office to Office is akin to Android Tablets to the iPad.
  • Reply 20 of 72
    Quote:
    Originally Posted by thataveragejoe View Post


    Yes, there's certainly been a shift. However my iPad can still only handle about 40% of my day job. So I can't call it a PC replace-r by an stretch.



    Not quite yet, and not quite completely, but almost.



    IMO, the "all purpose" computing device will fade, in favor of many different "Most purpose" devices.



    For example, if you are going to the beach, you'll take the beat-up old tablet with 4G with the screen that works well in the sun. Same for the morning commute, but if the one with the e-ink display is at hand, you'll be OK with it.



    On the couch, you might grab your big tablet with the good screen. The kids will have their favorites, but when the grown-ups are around, they will have to settle for one of the older tablets. The game play will not be as good, but them's the breaks.







    The idea of having only one main source of access to the 'web (like a desktop used to be) will seem quaint.
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